FLCV vs WTV

FLCVAFederated Hermes MDT Large Cap Value ETF

WTVAWisdomTree U.S. Value Fund

In short

FLCV Federated Hermes took MDT Advisers, its quant arm of 30-plus years, and bottled that process into an ETF: a bottom-up model re-ranks large-cap US stocks daily and holds roughly 120 of the undervalued ones.

WTV Most value funds shop for low price tags. WTV shops for cash coming back to shareholders: dividends plus net buybacks, filtered for quality and profitability. Actively run, priced like an index fund at 0.12%.

Stated mandate

FLCV The fund seeks long-term capital appreciation by investing primarily in common stocks of large-cap U.S. companies that are considered undervalued.

WTV The fund seeks income and capital appreciation through primarily U.S. equities selected for high total shareholder yield and favorable relative quality characteristics.

Why people hold it

• FLCV 0.32% net of a waiver through May 1, 2027 (0.43% gross), below the category median for active US value funds.
• The engine is not new: MDT Advisers has run this bottom-up quant process for Federated Hermes for more than 30 years, built to strip out human bias.hermes-investment.com
• Roughly 120 names, picked by a model that scores stocks on fundamental and technical factors daily rather than waiting on an index rebuild.hermes-investment.com
• Stands among the stronger packages in a crowded field of active US value ETFs.

• WTV Charges 0.12% a year, under a quarter of the 0.55% typical for active US value funds, and less than every same-benchmark rival in its group (JAVA 0.44%, CGVV 0.33%, TEQI 0.54%).
• "Value" here means cash returned: dividend yield plus net buyback yield, with quality and profitability screens, rather than a plain low price-to-book sort.wisdomtree.com
• About 160 US stocks, a multi-billion-dollar asset base, and a live track record dating to 2007. Distributions land quarterly.

Worth knowing

• FLCV Cheap for an active fund, not cheap outright: WTV charges 0.12% and AVLV 0.15%. The fee also reverts toward 0.43% gross if the waiver lapses after May 1, 2027.
• Thinly traded with a modest asset base, so spreads can be wider than in the category's giants. Limit orders earn their keep.
• Launched in 2024, so the ETF's own track record is short and spans only one stretch of market conditions.

• WTV Full equity with no downside cushion, and a value tilt that can lean into a handful of sectors. Risk is the least polished part of the profile.
• Rules-based active, not an index tracker, so results can diverge from the Russell 1000 Value in either direction.
• Buybacks supply much of the shareholder yield, and companies can scale repurchases back more easily than they cut dividends.wisdomtree.com

Full FLCV profile⁠

Full WTV profile⁠