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Is Nuveen ESG Small-Cap ETF (NUSC) a Strong ETF Right Now?
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Launched on 12/13/2016, the Nuveen ESG Small-Cap ETF (NUSC - Free Report) is a smart beta exchange traded fund offering broad exposure to the Style Box - Small Cap Growth category of the market.
What Are Smart Beta ETFs?
Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.
Market cap weighted indexes work great for investors who believe in market efficiency. They provide a low-cost, convenient and transparent way of replicating market returns.
On the other hand, some investors who believe that it is possible to beat the market by superior stock selection opt to invest in another class of funds that track non-cap weighted strategies--popularly known as smart beta.
By attempting to pick stocks that have a better chance of risk-return performance, non-cap weighted indexes are based on certain fundamental characteristics, or a combination of such.
The smart beta space gives investors many different choices, from equal-weighting, one of the simplest strategies, to more complicated ones like fundamental and volatility/momentum based weighting. However, not all of these methodologies have been able to deliver remarkable returns.
Fund Sponsor & Index
Managed by Nuveen, NUSC has amassed assets over $1.25 billion, making it one of the average sized ETFs in the Style Box - Small Cap Growth. Before fees and expenses, NUSC seeks to match the performance of the TIAA ESG Small-Cap Index.
The Nuveen ESG USA Small-Cap Index composed of equity securities issued by small-capitalization companies listed on U.S. exchanges.
Cost & Other Expenses
Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.
With on par with most peer products in the space, this ETF has annual operating expenses of 0.31%.
NUSC's 12-month trailing dividend yield is 0.95%.
Sector Exposure and Top Holdings
It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
NUSC's heaviest allocation is in the Industrials sector, which is about 18.2% of the portfolio. Its Information Technology and Financials round out the top three.
When you look at individual holdings, East West Bancorp Inc (EWBC) accounts for about 1.04% of the fund's total assets, followed by Viatris Inc (VTRS) and Renaissancere Holdings Lt (RNR).
NUSC's top 10 holdings account for about 9.41% of its total assets under management.
Performance and Risk
The ETF return is roughly 10.62% and is up roughly 12.95% so far this year and in the past one year (as of 09/24/2026), respectively. NUSC has traded between $42.14 and $53.27 during this last 52-week period.
The ETF has a beta of 1.04 and standard deviation of 19.19% for the trailing three-year period. With about 408 holdings, it effectively diversifies company-specific risk .
Alternatives
Nuveen ESG Small-Cap ETF is a reasonable option for investors seeking to outperform the Style Box - Small Cap Growth segment of the market. However, there are other ETFs in the space which investors could consider.
Vanguard ESG U.S. Stock ETF Shares (ESGV) tracks FTSE US ALL CAP CHOICE INDEX and the iShares ESG Aware MSCI USA ETF (ESGU) tracks MSCI USA ESG Focus Index. Vanguard ESG U.S. Stock ETF Shares has $13.54 billion in assets, iShares ESG Aware MSCI USA ETF has $18.1 billion. ESGV has an expense ratio of 0.09% and ESGU changes 0.15%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Small Cap Growth
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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Is Nuveen ESG Small-Cap ETF (NUSC) a Strong ETF Right Now?
Launched on 12/13/2016, the Nuveen ESG Small-Cap ETF (NUSC - Free Report) is a smart beta exchange traded fund offering broad exposure to the Style Box - Small Cap Growth category of the market.
What Are Smart Beta ETFs?
Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.
Market cap weighted indexes work great for investors who believe in market efficiency. They provide a low-cost, convenient and transparent way of replicating market returns.
On the other hand, some investors who believe that it is possible to beat the market by superior stock selection opt to invest in another class of funds that track non-cap weighted strategies--popularly known as smart beta.
By attempting to pick stocks that have a better chance of risk-return performance, non-cap weighted indexes are based on certain fundamental characteristics, or a combination of such.
The smart beta space gives investors many different choices, from equal-weighting, one of the simplest strategies, to more complicated ones like fundamental and volatility/momentum based weighting. However, not all of these methodologies have been able to deliver remarkable returns.
Fund Sponsor & Index
Managed by Nuveen, NUSC has amassed assets over $1.25 billion, making it one of the average sized ETFs in the Style Box - Small Cap Growth. Before fees and expenses, NUSC seeks to match the performance of the TIAA ESG Small-Cap Index.
The Nuveen ESG USA Small-Cap Index composed of equity securities issued by small-capitalization companies listed on U.S. exchanges.
Cost & Other Expenses
Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.
With on par with most peer products in the space, this ETF has annual operating expenses of 0.31%.
NUSC's 12-month trailing dividend yield is 0.95%.
Sector Exposure and Top Holdings
It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
NUSC's heaviest allocation is in the Industrials sector, which is about 18.2% of the portfolio. Its Information Technology and Financials round out the top three.
When you look at individual holdings, East West Bancorp Inc (EWBC) accounts for about 1.04% of the fund's total assets, followed by Viatris Inc (VTRS) and Renaissancere Holdings Lt (RNR).
NUSC's top 10 holdings account for about 9.41% of its total assets under management.
Performance and Risk
The ETF return is roughly 10.62% and is up roughly 12.95% so far this year and in the past one year (as of 09/24/2026), respectively. NUSC has traded between $42.14 and $53.27 during this last 52-week period.
The ETF has a beta of 1.04 and standard deviation of 19.19% for the trailing three-year period. With about 408 holdings, it effectively diversifies company-specific risk .
Alternatives
Nuveen ESG Small-Cap ETF is a reasonable option for investors seeking to outperform the Style Box - Small Cap Growth segment of the market. However, there are other ETFs in the space which investors could consider.
Vanguard ESG U.S. Stock ETF Shares (ESGV) tracks FTSE US ALL CAP CHOICE INDEX and the iShares ESG Aware MSCI USA ETF (ESGU) tracks MSCI USA ESG Focus Index. Vanguard ESG U.S. Stock ETF Shares has $13.54 billion in assets, iShares ESG Aware MSCI USA ETF has $18.1 billion. ESGV has an expense ratio of 0.09% and ESGU changes 0.15%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Small Cap Growth
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.