Motley Fool Value Factor ETF

The Motley Fool Value Factor ETF is a passively managed exchange-traded fund that provides investors with targeted exposure to value-oriented U.S. companies recommended by The Motley Fool's analyst community. Launched on December 8, 2025, by Motley Fool Asset Management, it tracks a proprietary Motley Fool Value Index designed to identify high-quality value stocks while avoiding traditional value traps. The fund employs sophisticated metrics such as adjusted Book-to-Price ratio, Gross Profits-to-Enterprise Value, and total shareholder yield to construct a composite factor score, selecting approximately 150 holdings from a universe of vetted, liquid U.S. stocks recommended in The Motley Fool's research publications or ranking highly in their analyst opinion database, known as Fool Intel. Key features include quarterly rebalancing to reflect evolving analyst convictions, an expense ratio of 0.50%, and a diversified portfolio spanning sectors like consumer defensive, industrials, healthcare, financial services, energy, communication services, and technology. Top holdings as of recent data include Walmart Inc., FedEx Corp., HCA Healthcare Inc., Charles Schwab Corp., and Amgen Inc., offering broad strategic access to top-rated value plays. This ETF embodies The Motley Fool's evidence-based investing principles, leveraging human research and quantitative models to deliver an edge over conventional index trackers in the factor investing space. Part of a new lineup including growth and momentum-focused siblings, it supports the firm's expansion to provide data-driven alternatives for long-term portfolios.