Low-Volatility Strategy Is 2025’s Upside Outlier For Equity Factors
Standing alone among US equity factors this year, the low-volatility strategy is holding on to a modest gain year to date. In sharp relief, the rest of the factor field is posting varying degrees of loss, based on a set of ETFs through yesterday’s close (Apr. 15).
The iShares MSCI USA Minimum Volatility Factor ETF (USMV) is up 2.7% year to date. By contrast, the US stock market overall (SPY) is down 8.0%. All the other factor ETFs are also in the red so far this year.
