ETF Evaluator:
Ishares MSCI USA Small-Cap Qul Fac ETF ()
Follow This ETF
(as of Aug 20)
Best Performing in Small Blend Over the Last Year
| 55.4% | Invesco NASDAQ Future Gen 200 ETF (QQQS) |
| 45.8% | iShares Micro-Cap ETF (IWC) |
| 45.6% | First Trust Small Cap Core AlphaDEX® ETF (FYX) |
| 43.8% | Fidelity Enhanced Small Cap Core ETF (FESM) |
| 38.9% | Inspire Small/Mid Cap ETF (ISMD) |
Risk
Index
Risk
Index
ETF Details
Ishares MSCI USA Small-Cap Qul Fac ETF Overview
Ishares MSCI USA Small-Cap Qul Fac ETF (SQLT) is a passively managed U.S. Equity Small Blend exchange-traded fund (ETF). iShares launched the ETF in 2026.
The investment seeks to track the investment results of MSCI USA Small Cap Sector Neutral Quality Index composed of U.S. small-capitalization stocks exhibiting relatively higher quality characteristics.
The fund will invest at least 80% of its assets in the component securities of its underlying index and may invest up to 20% of its assets in certain futures, options and swap contracts, cash and cash equivalents, including shares of money market funds advised by BFA or its affiliates, as well as in securities not included in the underlying index, but which BFA believes will help the fund track the underlying index.
About Ishares MSCI USA Small-Cap Qul Fac ETF (SQLT)
There are 4 members of the management team with an average tenure of 0.33 years: Jennifer Hsui (2026), Peter Sietsema (2026), Matt Waldron (2026) and Steven White (2026). Management tenure is more important for actively managed ETFs than passive index ETFs.
The ETF has 1 primary benchmark: MSCI USA Small Cap Sector NQ NR USD index with a weighting of 100%. Ishares MSCI USA Small-Cap Qul Fac ETF has 497 securities in its portfolio. The top 10 holdings constitute 8.3% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a diversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.
Ishares MSCI USA Small-Cap Qul Fac ETF is part of the Equity global asset class and is within the U.S. Equity ETF group. Ishares MSCI USA Small-Cap Qul Fac ETF has 1.5% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 98.3% There is 1.5% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Ishares MSCI USA Small-Cap Qul Fac ETF has 0.2% of the portfolio in cash.
Assets Under Management
The fund has $6 million in total assets, which is below the $4 billion average for the Small Blend category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
SQLT Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Ishares MSCI USA Small-Cap Qul Fac ETF expense ratio is below average compared to funds in the Small Blend category. Ishares MSCI USA Small-Cap Qul Fac ETF has an expense ratio of 0.20%, which is 53% lower than its category average, making the fund expense ratio grade a B. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. Ishares MSCI USA Small-Cap Qul Fac ETF has a portfolio turnover rate of 0%, which indicates that it holds its assets around /years. By way of comparison, the average portfolio turnover is 50% for the Small Blend category.
Recently, in the month of July 2026, Ishares MSCI USA Small-Cap Qul Fac ETF returned -0.6%, which earned it a grade of B, as the Small Blend category had an average return of -2.1%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.
Ishares MSCI USA Small-Cap Qul Fac ETF has a trailing yield of 0.00%, which is below the 1.17% category average.
The fund normally distributes its income annually and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
For more ETF grades, analysis and screening tools to help your investment discovery, join AAII for a $2, full-access trial. Learn more here: https://invest.aaii.com/membership.
Otherwise, for more information about Ishares MSCI USA Small-Cap Qul Fac ETF, including its riskiness, submit your email to unlock the rest of the article.
Gain access to exclusive AAII member-only content.
SQLT Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| SQLT Return (NAV) | -0.6% | 4.4% | na | na | na | na |
| SQLT Return (Price) | -0.8% | 4.2% | na | na | na | na |
| NAV +/- Price Return | 0.189% | 0.274% | na | na | na | na |
| Small Blend Avg | -2.1% | 5.7% | 28.5% | 14.0% | 8.0% | 10.8% |
| SQLT Grade (NAV) | B | D | na | na | na | na |
| +/- Category (NAV) | 1.5% | -1.3% | na | na | na | na |
| SQLT Tax-Cost Ratio | na | na | na | na | na | na |
SQLT Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| SQLT Return (NAV) | na | na | na | na | na | na | na | na | na | na | na |
| SQLT Return (Price) | na | na | na | na | na | na | na | na | na | na | na |
| NAV +/- Price Ret | na | na | na | na | na | na | na | na | na | na | na |
| Small Blend Avg | 18.0% | 8.7% | 11.7% | 16.3% | -15.9% | 24.0% | 12.7% | 24.8% | -9.2% | 14.4% | 19.6% |
| SQLT Grade (NAV) | na | na | na | na | na | na | na | na | na | na | na |
| +/- Category | na | na | na | na | na | na | na | na | na | na | na |
| Risk Measures | |
| Beta: | na |
| R-Squared: | na |
| Standard Deviation: | na |
| Category Risk Index: | na |
| Category Risk Rating: | |
| Total Risk Index: | na |
| Total Risk Rating: | |
| Portfolio Characteristics | |
| Yield: | -- |
| Total Assets: | $ 7 Mil |
| Share Class Assets: | $ 7 Mil |
| Turnover: | na |
| Expense Ratio: | 0.20% |
| Index Fund: | Yes |
| Index Tracked: | MSCI USA Small Cap Sector NQ NR USD |
| Index Weighting: | 100% |
| Leveraged: | No |
| Socially Responsible Fund: | No |
| Capital Gains Distribution Frequency: | Annually |
| Income Distribution Frequency: | Annually |
Management Team
| Number of Managers: 4 | |||
| Longest Tenure: 0.3 years | |||
| Average Tenure: 0.3 years | |||
| Managers (Year): Hsui Jennifer (2026), Sietsema Peter (2026), Waldron Matt (2026), White Steven (2026) | |||
Portfolio Composition (as of 7/31/26)
| # of Holdings: | 497 |
| % in Top 10 Holdings: | 8.3% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 1.5% |
Portfolio Allocation |
|
| Domestic Stock: | 98.3% |
| Foreign Stock: | 1.5% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 0.0% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 0.2% |
Purchase Information
| Legal Structure: | Open Ended Investment Company |
| Fund Family: | iShares |
| Phone Number: | 800-474-2737 |
| Website: | au.ishares.com |
| Inception Date: | March 31, 2026 |
Expenses and Fees
| Expense Ratio (%): | 0.20% (Rating: Below Avg) |
| Category Average Expense Ratio (%): | 0.42% |
