Should you consider adding Xtrackers Russell US Multifactor ETF (DEUS) to your investment portfolio?

Xtrackers Russell US Multifactor ETF Overview

Introduced on November 24, 2015, the Xtrackers Russell US Multifactor ETF (DEUS) is a passive exchange traded fund that targets the Large Cap Blend segment within the US stock market.

Managed by Deutsche Bank AG, this ETF has accumulated over $220 million in assets, positioning it as a mid-sized fund in its category.

Understanding Large Cap Blend

Large cap companies generally have a market value exceeding $10 billion. These firms are often characterized by their stability, consistent earnings, and lower volatility compared to smaller companies.

Blend ETFs typically invest in both growth and value stocks, offering a mix of characteristics from each investment style.

Fees and Expenses

When evaluating ETFs, investors should consider the expense ratio. Lower fees can lead to better returns if all other factors are equal.

This ETF has an annual expense ratio of 0.17%, making it one of the more cost-effective options available.

Its trailing 12-month dividend yield stands at 1.48%.

Sector Allocation and Leading Holdings

ETFs provide broad diversification, helping reduce the risk associated with individual stocks. Transparency is common, with many funds disclosing their holdings daily.

DEUS has its largest allocation in the Energy sector, followed by Industrials and Materials.

Among its top holdings, Mckesson Corp (MCK) represents about 1.15% of assets, with Cash & Cash Equivalents and Altria Group Inc (MO) also among the leading positions.

The ten largest holdings make up roughly 7.36% of the fund’s total assets.

Performance and Risk Profile

DEUS aims to replicate the Russell 1000 Comprehensive Factor Index, which selects US stocks based on five criteria: Quality, Value, Momentum, Low Volatility, and Size.

Year-to-date, the ETF has gained approximately 7.92%, and over the past year (as of 02/26/2026), it has risen about 16.08%. Its price has ranged from $48.13 to $63.06 during the last 52 weeks.

With a beta of 0.92 and a three-year standard deviation of 13.3%, DEUS is considered a moderate risk investment. The fund holds around 846 stocks, offering substantial diversification.

Other ETF Choices

DEUS holds a Zacks ETF Rank of 3 (Hold), reflecting factors such as expected returns, fees, and momentum. It is a suitable option for investors seeking exposure to the Large Cap Blend segment, though there are alternative funds to consider.

Comparable ETFs include the iShares Core S&P 500 ETF (IVV) and the Vanguard S&P 500 ETF (VOO), both tracking similar indices. IVV manages $758.36 billion in assets, while VOO holds $863.54 billion. Both funds feature a low expense ratio of 0.03%.

Conclusion

Passive ETFs are increasingly favored by both institutional and individual investors due to their low fees, transparency, flexibility, and tax advantages. They are well-suited for those with a long-term investment horizon.

For more information about this ETF and others, explore products that align with your investment goals and stay updated with articles on ETF trends.