ITEQ vs LVLCX Fund Comparison

A comparison between ITEQ and LVLCX based on their expense ratio, growth, holdings and how well they match their benchmark performance.

Group Created with Sketch.

Minafi's Take on ITEQ vs LVLCX

Here's an in depth look at the differences between BlueStar Israel Technology ETF ($ITEQ) and Invesco Low Volatility Emerging Markets Fund Class C ($LVLCX).

To start off, here's a look at the basics of each fund. Keep an eye on the FI Score. That's a custom score from 0 to 100 that we generate based on how good this fund is for the casual investor. Most investors only need a handful of total funds in their portfolio. The higher the score, the more likely this is one of those few. Score alone isn't enough! Keep reading on to see how different (or perhaps similar) these two funds are.

29% FI Score
  • iteq
  • ETF
  • Sector Equity
  • Technology

BlueStar Israel Technology ETF

Expenses: 0.75% (Better than 1% of similar funds)

This is a bad choice for a Technology Sector Equity fund. See why »

14% FI Score
  • lvlcx
  • Mutual Fund
  • International Stocks
  • Emerging Markets

Invesco Low Volatility Emerging Markets Fund Class C

Expenses: 2.08% (Better than 0% of similar funds)

This is a bad choice for a Emerging Markets International Stocks fund. See why »

$ITEQ is classified as an ETF while $LVLCX is classified as a Mutual Fund. Even though one of these is a mutual fund and the other is an ETF, that doesn't matter too much for their holdings. Both ETFs and mutual funds are just containers to hold lots of investments inside of them.

The biggest differences between these two is where they may be offered. ETFs are more widely availble from a larger number of investment apps and websites. Mutual funds, on the other hand, are generally offered by the platform they're issued by (Fidelity funds on Fidelity, Vanguard funds on Vanguard). Usually 401(k)'s will offer both ETFs and Mutual Funds. If you're investing outside of a 401(k), I'd recommend you verify the fees associated with ETF and mutual fund transactions. Some platforms charge an additional fee to purchase a mutual fund.

To learn more about the difference between these two, you can read about the difference between ETFs and Mutual Funds.

When evaluating a fund, the first things I look at are:

  • What it invests in
  • How much it charges in fees
  • How large the fund is

Let's look into these criteria one by one and see if either of these funds stands out.

Fund Holdings Comparison

Minafi's FI Score algorithm takes into account the category and market. The more niche a fund is, the lower the score. This doesn't mean it's a worse fund, but it does mean you should stop and make sure this a fund you need to diversify your portfolio.

ITEQ LVLCX
Market Score 3.6 /10 1.4 /10
Category Score 0.0 /10 5.0 /10
Total 3.6 6.4

A score of 10 means this is a solid market and category that almost every investor will want to have investments in. The lower the score, the more specific the investment. These scores are based on when most investors would add these funds to their portfolio. A score of 10 means that this fund (or one like it) belongs in a three-fund portfolio. The lower the score, the farther down in your portfolio a fund would go.

Winner: $LVLCX

Fee Comparison

Fees are one of the biggest killers of portfolio growth. The difference between a 2% fee and a 0.04% fee over 30 years can result in your portfolio having half the total value!

If you're just getting started investing and learning how fees impact your portfolio, I'd encourage you to read through my free investment course (specifically '2.2 - All About Fees') where I go over all the different types of fees you can be charged and how to lower them.

For these two funds, ITEQ has an expense ratio of 0.75% while LVLCX has an expense ratio of 2.08%.

Winner: $ITEQ

Fund Size Comparison

Both ITEQ and LVLCX have a similar number of assets under management. ITEQ has 106 Million in assets under management, while LVLCX has 25.5 Million.

Minafi categorizes both of these funds as small funds. Fund size is a good indication of how many other investors trust this fund. A large fund by itself doesn't mean it's a good fund, but it is one thing to consider when figuring out how to choose the right fund.

Winner: tie

Which Should You Choose? ITEQ or LVLCX?

Comparing these two funds isn't an apples to apples comparison. ITEQ is a Sector Equity Technology fund, while LVLCX is a International Stocks Emerging Markets fund.

If you're aiming to build a diversified, low-fee, tax-optimized portfolio you likely won't be choosing between these two funds since they're different enough.

Running both of these funds through Minafi's FI Score algorithm, gives ITEQ a score of 29 and LVLCX a score of 14.

Winner: Neither, I'd research more funds if you're looking to invest for retirement.

$ITEQ

BlueStar Israel Technology ETF

29

Read More
Ratings
Rating Type Rating
Diversification Score 2 /10
Expense Ratio Score 5 /10
Expense Rating 3 /10
Market Score 4 /10
Category Score 0 /10
Overview
Overview Details
Fund Type ETF
Inception Date Nov-2-2015
Exchange NYSE ARCA
Expense Ratio 0.750%
Net Assets 106 Million
Yield 0.02%
Holdings
Description Info
Market Sector Equity
Category Technology
Sectors
  • Basic Materials 0.00%
  • Communication Services 1.67%
  • Consumer Cyclicals 0.83%
  • Consumer Defensive 0.00%
  • Energy 0.00%
  • Financial Services 1.85%
  • Healthcare 12.16%
  • Industrials 6.57%
  • Real Estate 0.00%
  • Technology 71.15%
  • Utilities 5.77%
Regions
  • Africa/Middle East 52.29%
  • Asia Developed 1.51%
  • Asia Emerging 0.34%
  • Europe Developed 0.12%
  • North America 44.90%
  • United Kingdom 0.83%

$LVLCX

Invesco Low Volatility Emerging Markets Fund Class C

14

Read More
Ratings
Rating Type Rating
Expense Ratio Score 1 /10
Expense Rating 0 /10
Market Score 1 /10
Category Score 5 /10
Overview
Overview Details
Fund Type Mutual Fund
Inception Date Dec-17-2013
Exchange NMFQS
Expense Ratio 2.080%
Net Assets 25.5 Million
Yield 2.03%
Holdings
Description Info
Market International Stocks
Category Emerging Markets
Sectors
  • Basic Materials 11.29%
  • Communication Services 16.35%
  • Consumer Cyclical 7.55%
  • Consumer Defensive 15.36%
  • Energy 4.32%
  • Financial Services 9.63%
  • Healthcare 6.48%
  • Industrials 15.24%
  • Real Estate 1.66%
  • Technology 8.30%
  • Utilities 3.82%
Regions
  • Africa/Middle East 5.50%
  • Asia Developed 35.32%
  • Asia Emerging 42.38%
  • Europe Developed 0.01%
  • Europe Emerging 6.56%
  • Latin America 9.91%
  • North America 0.02%
  • United Kingdom 0.29%

Adam says: Learn how to confidently invest for retirement!

Join the Minafi Investor Bootcamp to see how.

This 10-course bootcamp starts at only $10 for everything!

Minafi - The intersection of FI, minimalism & mindfulness.

Don't miss out on new posts, courses, interactive articles and more!

Join & Get Your First Course Free

© 2024   Adam Fortuna

Site Map
Triangle Graduation Cap Angle Down Book regular Phone laptop regular fire regular fire regular search regular Acorn duotone Seedling duotone thumbs down duo