MTUM — iShares MSCI USA Momentum Factor ETF
iShares (BlackRock) · Expense Ratio: 0.15% · Factor/Smart Beta · 4bp below the Factor/Smart Beta category average of 0.19%
Key Facts
| Ticker | MTUM |
| Full Name | iShares MSCI USA Momentum Factor ETF |
| Provider | iShares (BlackRock) |
| Expense Ratio | 0.15% |
| Category | Factor/Smart Beta |
| Assets Under Management | $12B |
| Inception Year | 2013 (13 years ago) |
| Number of Holdings | 125 |
| Dividend Yield | ~0.5% (low) |
| Top Holdings | NVDA, META, AVGO, LLY |
What Is MTUM?
MTUM, managed by iShares (BlackRock), launched in 2013, is a well-established ETF with adequate liquidity for most investors in the Factor/Smart Beta category. Smart-beta factor ETF targeting specific investment factors like quality, momentum, or low volatility. With $12B in assets under management, it has adequate trading volume for most individual investors.
MTUM in a FIRE Portfolio
This fund serves as a satellite position — adding targeted exposure to factor/smart beta within a FIRE portfolio built around a broad-market core.
Satellite holdings typically make up 5-20% of your portfolio. This fund complements a broad-market core — use it as a tilt, not the foundation. Keep your core holdings at 70-80% and use this for targeted exposure.
Cost Analysis: How MTUM's 0.15% Fee Affects Your FIRE Timeline
At 0.15%, MTUM is moderately priced. Annual cost on a $100K position: $150. Over 30 years, fees could consume approximately 0.9% of total returns. On a $1M FIRE portfolio, cumulative fees approach $15,000. Compare with lower-cost peers in Factor/Smart Beta: .
Dividend Income Potential
With a low dividend yield of approximately 0.5%, here's what MTUM could generate in annual income at different portfolio sizes:
| Portfolio Value | Annual Dividend Income | Monthly Income |
|---|---|---|
| $100,000 | $500/year | $42/month |
| $250,000 | $1,250/year | $104/month |
| $500,000 | $2,500/year | $208/month |
| $1,000,000 | $5,000/year | $417/month |
Frequently Asked Questions About MTUM
What is the expense ratio for MTUM?
MTUM has an expense ratio of 0.15%. This is moderately priced — on a $100K portfolio, annual fees are $150. 4bp below the factor/smart beta category average of 0.19%.
Is MTUM good for a FIRE portfolio?
This fund serves as a satellite position — adding targeted exposure to factor/smart beta within a FIRE portfolio built around a broad-market core. Its 0.15% expense ratio is moderately priced for the Factor/Smart Beta category.
How does the 0.15% fee affect long-term returns?
At 0.15%, you'll pay $150/year per $100K invested. Over 30 years, fees reduce total returns by approximately 0.9%. Use the embedded calculator below to model the exact impact on your specific portfolio.
Is MTUM liquid enough for my portfolio?
MTUM manages $12B in assets — a well-established ETF with adequate liquidity for most investors. For most individual FIRE investors making regular contributions, liquidity is sufficient. If you're investing large lump sums ($100K+), use limit orders to control your execution price.
Similar ETFs in Factor/Smart Beta
- QUAL — iShares MSCI USA Quality Factor ETF (0.15% · Satellite Position)
- SPLV — Invesco S&P 500 Low Volatility ETF (0.25% · Satellite Position)
- USMV — iShares MSCI USA Min Vol Factor ETF (0.15% · Satellite Position)
- VLUE — iShares MSCI USA Value Factor ETF (0.15% · Satellite Position)
- SIZE — iShares MSCI USA Size Factor ETF (0.15% · Satellite Position)
- IVLU — iShares MSCI International Value Factor ETF (0.3% · Satellite Position)