Is John Hancock Multifactor Large Cap ETF (JHML) a Strong ETF Right Now?

The John Hancock Multifactor Large Cap ETF (JHML) was launched on 09/28/2015, and is a smart beta exchange traded fund designed to offer broad exposure to the Style Box - Large Cap Blend category of the market.

What Are Smart Beta ETFs?

The ETF industry has long been dominated by products based on market cap weighted indexes, a strategy created to reflect the market or a particular market segment.

A good option for investors who believe in market efficiency, market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns.

However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta.

Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.

Methodologies like equal-weighting, one of the simplest options out there, fundamental weighting, and volatility/momentum based weighting are all choices offered to investors in this space, but not all of them can deliver superior returns.

Fund Sponsor & Index

Managed by John Hancock, JHML has amassed assets over $1.05 billion, making it one of the larger ETFs in the Style Box - Large Cap Blend. This particular fund, before fees and expenses, seeks to match the performance of the John Hancock Dimensional Large Cap Index.

The John Hancock Dimensional Large Cap Index comprises of a subset of securities in the U.S. Universe issued by companies whose market capitalizations are larger than that of the 801st largest U.S. company.

Cost & Other Expenses

Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive cousins if all other fundamentals are the same.

Operating expenses on an annual basis are 0.29% for JHML, making it on par with most peer products in the space.

It's 12-month trailing dividend yield comes in at 1.05%.

Sector Exposure and Top Holdings

While ETFs offer diversified exposure, which minimizes single stock risk, a deep look into a fund's holdings is a valuable exercise. And, most ETFs are very transparent products that disclose their holdings on a daily basis.

This ETF has heaviest allocation in the Information Technology sector - about 25.4% of the portfolio. Financials and Industrials round out the top three.

When you look at individual holdings, Nvidia Corp (NVDA) accounts for about 4.11% of the fund's total assets, followed by Apple Inc (AAPL) and Alphabet Inc Cl A (GOOGL).

The top 10 holdings account for about 23.9% of total assets under management.

Performance and Risk

So far this year, JHML has added about 0.65%, and is up about 21.7% in the last one year (as of 03/12/2026). During this past 52-week period, the fund has traded between $59.74 and $82.74.

The ETF has a beta of 0.98 and standard deviation of 13.94% for the trailing three-year period, making it a medium risk choice in the space. With about 785 holdings, it effectively diversifies company-specific risk .

Alternatives

John Hancock Multifactor Large Cap ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Blend segment of the market. There are other ETFs in the space which investors could consider as well.

iShares Core S&P 500 ETF (IVV) tracks S&P 500 Index and the Vanguard 500 Index Fund ETF Shares (VOO) tracks S&P 500 Index. iShares Core S&P 500 ETF has $733.47 billion in assets, Vanguard 500 Index Fund ETF Shares has $858.99 billion. IVV has an expense ratio of 0.03% and VOO changes 0.03%.

Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Blend

Bottom Line

To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.

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John Hancock Multifactor Large Cap ETF (JHML): ETF Research Reports

This article originally published on Zacks Investment Research (zacks.com).

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