PEXL Profile
The Pacer US Export Leaders ETF is an investment fund focused on providing exposure to U.S. companies with substantial international sales. The fund follows a strategic approach by investing at least 80% of its total assets, excluding collateral from securities lending, in the component securities of its underlying index. This index employs a rules-based methodology to select its constituents, ensuring a precise and objective investment strategy.
The index tracked by the fund is designed to reflect the performance of an equal-weighted portfolio comprising approximately 100 large- and mid-cap U.S. companies that generate a significant portion of their revenues from foreign markets. Additionally, these companies are characterized by high free cash flow growth, which is calculated as the difference between cash flow from operations and capital expenditures. This focus on high free cash flow growth aims to identify companies with strong operational efficiency and financial health.
By targeting companies with substantial international sales, the Pacer US Export Leaders ETF seeks to capitalize on the global market exposure of its constituents. This focus not only provides investors with access to U.S. companies thriving in the global arena but also emphasizes those with robust financial metrics, particularly in terms of free cash flow growth. Such characteristics are indicative of companies that are likely to have a solid foundation for sustainable growth and profitability.
The ETF's investment strategy is designed to offer targeted exposure to firms that are both leaders in their export activities and demonstrate strong financial performance. This approach aims to deliver potential benefits from the global operations of U.S. companies while focusing on those with significant cash flow growth, which can be an indicator of their ability to generate returns and withstand economic fluctuations.
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