(XJH) iShares ESG Screened S&P - Ratings and Ratios

The iShares ESG Screened S&P Mid-Cap ETF (BATS:XJH) aims to replicate the S&P MidCap 400 Sustainability Screened Index, which represents U.S. mid-cap equities after removing firms engaged in controversial activities as defined by S&P Dow Jones Indices. The fund employs a representative-sampling indexing approach and is classified as non-diversified, meaning its holdings are concentrated relative to a fully replicated index.

As of the latest filing, XJH carries an expense ratio of 0.20% and manages roughly $1.2 billion in assets, placing it among the larger ESG-focused mid-cap ETFs. The top sector allocations are Technology (~25%), Healthcare (~20%), and Industrials (~15%), reflecting the broader mid-cap market composition. Over the past 12 months, the ETF has underperformed its non-ESG peer (S&P MidCap 400) by about 1.4 percentage points, a gap that can be partially attributed to the exclusion of higher-yielding energy and materials stocks.

Key drivers for XJH’s performance include U.S. GDP growth rates, which historically boost mid-cap earnings, and the Federal Reserve’s interest-rate policy, as higher rates tend to compress valuation multiples for growth-oriented mid-caps. Additionally, the increasing institutional demand for ESG-screened exposure can support inflows, but the fund’s non-diversified nature may amplify sector-specific volatility during economic downturns.

For a deeper, data-driven assessment of XJH’s risk-adjusted returns and ESG impact metrics, you may find ValueRay’s analytical dashboards useful for further research.