RAFE - ETF AI Analysis
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PIMCO RAFI ESG U.S. ETF (RAFE)
RAFE, the PIMCO RAFI ESG U.S. ETF, has a solid overall rating, suggesting it holds generally strong, well-established companies with supportive fundamentals. High-quality leaders like Apple and Microsoft boost the fund’s appeal through strong financial performance and growth in areas like services, cloud, and AI, while defensive names such as Merck and Verizon add stability with attractive valuations and steady cash flows. The main risk is that some holdings, like AT&T, Procter & Gamble, and AbbVie, face issues such as high debt, weaker technical trends, or valuation and profitability concerns, which can weigh on the fund’s rating.
RAFE vs. SPDR S&P 500 ETF (SPY)
- AUM
- 173.60M
- Region
- North America
- Expense Ratio
- 0.29%
- Beta
- 0.79
- Issuer
- PIMCO
- Inception Date
- Dec 18, 2019
- Dividend Yield
- 1.48%
- Asset Class
- Equity
- Index Tracked
- RAFI ESG US Index
RAFE Summary
PIMCO RAFI ESG U.S. ETF (RAFE) is a fund that follows the RAFI ESG US Index, focusing on U.S. companies that score well on environmental, social, and governance (ESG) practices. It invests across the whole U.S. stock market, including large, mid, and small companies, with big positions in well-known names like Apple and Microsoft, plus major health care and financial firms. Someone might invest in RAFE to get broad diversification in U.S. stocks while supporting more responsible business practices and seeking long-term growth. A key risk is that the value of the ETF can go up and down with the overall stock market.
How much will it cost me?
The PIMCO RAFI ESG U.S. ETF (RAFE) has an expense ratio of 0.29%, which means you’ll pay $2.90 per year for every $1,000 invested. This is slightly higher than average for ETFs because it is actively managed and incorporates ESG criteria, which require more research and oversight compared to passively managed funds. It’s a good option if you value sustainable investing and are comfortable with the slightly higher cost.
What would affect this ETF?
The PIMCO RAFI ESG U.S. ETF could benefit from growing interest in ESG investing and the strong performance of its top holdings in technology and healthcare, sectors that often thrive during innovation and demographic shifts. However, potential risks include regulatory changes affecting ESG criteria, economic downturns impacting consumer spending, or rising interest rates that could pressure financial and cyclical sectors. Its focus on U.S. equities also makes it sensitive to domestic economic conditions and policy changes.
RAFE Top 10 Holdings
RAFE leans heavily on U.S. blue chips, with Apple and Microsoft doing much of the heavy lifting thanks to rising or steady momentum tied to cloud, AI, and services. Health care is another key pillar: Merck and Johnson & Johnson have been climbing, giving the fund a defensive backbone. On the flip side, telecom names like Verizon and AT&T are dragging, with more mixed and lagging performance that dulls some of the shine. Overall, it’s a U.S.-centric, tech-and-health-care story with a few old-line telecoms acting as a speed bump.
| Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
 AAPL | Apple | 5.50% | $9.54M | $5.01T | 38.80% | 79Outperform |
 MSFT | Microsoft | 5.42% | $9.40M | $3.93T | 3.41% | 79Outperform |
 JNJ | Johnson & Johnson | 2.84% | $4.92M | $615.87B | 33.02% | 78Outperform |
 UNH | UnitedHealth | 2.84% | $4.93M | $360.32B | 12.55% | 72Outperform |
 JPM | JPMorgan Chase | 2.41% | $4.17M | $903.04B | 13.79% | 72Outperform |
 MRK | Merck & Company | 2.12% | $3.67M | $360.08B | 73.92% | 80Outperform |
 PG | Procter & Gamble | 1.93% | $3.35M | $370.12B | 6.52% | 69Neutral |
 VZ | Verizon | 1.85% | $3.21M | $186.09B | 10.98% | 81Outperform |
 ABBV | AbbVie | 1.76% | $3.05M | $504.37B | 25.81% | 66Neutral |
 T | AT&T | 1.76% | $3.06M | $160.62B | -10.53% | 71Outperform |
RAFE Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For RAFE, the sentiment is Positive. The current price of 49.99 is above the 20-day moving average (MA) of 49.56, above the 50-day MA of 49.76, and above the 200-day MA of 45.74, indicating a bullish trend. The MACD of 0.10 indicates Negative momentum. The RSI at 56.21 is Neutral, neither overbought nor oversold. The STOCH value of 85.20 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RAFE.
RAFE Peer Comparison
Comparison Results
| Name | Price | Price Target | AUM | Expense Ratio | Overall Rating |
|---|---|---|---|---|---|
| RAFE | $49.99 | $56.00(12.02% Upside) | $173.60M | 0.29% | 72Outperform |
 SYLD | $84.07 | $95.60(13.71% Upside) | $1.00B | 0.59% | 69Neutral |
 HLAL | $73.33 | $90.49(23.40% Upside) | $982.17M | 0.50% | 76Outperform |
 SEUS | $25.75 | $30.73(19.34% Upside) | $943.98M | 0.30% | 73Outperform |
 AUSF | $50.63 | $57.71(13.97% Upside) | $882.87M | 0.27% | 71Outperform |
 BGDV | $30.92 | $36.96(19.54% Upside) | $861.28M | 0.45% | 74Outperform |
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| RAFE | PIMCO RAFI ESG U.S. ETF | 49.99 | 9.51 | 23.50% | |
| SYLD | Cambria Shareholder Yield ETF | 84.07 | 17.52 | 26.33% | |
| HLAL | Wahed FTSE USA Shariah ETF | 73.33 | 13.00 | 21.55% | |
| SEUS | SEI QiM U.S. Equity Factor Allocation Active ETF | 25.75 | 0.48 | 1.92% | |
| AUSF | Global X Adaptive U.S. Factor ETF | 50.63 | 5.96 | 13.33% | |
| BGDV | Bahl & Gaynor Dividend ETF | 30.92 | 4.36 | 16.41% |
This AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.