What Is the AOM ETF? A Complete Guide to Returns, Expense Ratio, Holdings, and Alternative ETFs
An asset allocation ETF that keeps a stable balance of stocks and bonds, aiming to reduce volatility and deliver steady capital growth.
SubscribeWhat Is This ETF?
It tracks the S&P Target Risk Moderate Index and allocates assets across global equity and bond markets. By combining the growth potential of stocks with the stability of bonds, it focuses on defending the portfolio during sharp market declines.
It suits moderate investors who prefer stable asset allocation over single-stock or sector bets and want steady returns with low volatility.
It is a passively managed (index-tracking) ETF launched by BlackRock (iShares) in 2008.
How Does It Invest?
| Item | Details |
|---|---|
| Tracked Index | S&P Target Risk Moderate Index |
| Management Style | Passive (asset allocation) |
| Rebalancing Frequency | Semiannual |
| Dividend Frequency | Quarterly |
| Total Expense Ratio | 0.15% |
The fund invests in US and global equity ETFs and bond ETFs at set ratios. When weights drift with market conditions, regular rebalancing restores the target allocation of 40% stocks and 60% bonds.
- One-stop diversified exposure to global stocks and bonds
- Efficient management built on the proven iShares Core series
Size and Costs
Assets under management (AUM) stand at $1.9B, and the expense ratio is 0.15% per year.
It shares the same investment philosophy as AOR, AOA, and the other funds shown in the table, but it sets its equity weighting relatively low to strengthen defense in down markets.
Performance and Trends
1-Year Price Performance
Dividend & Yield
52-Week Price RangeIn strong equity bull markets its gains may be limited, but during periods of stable interest rates or rising stock market volatility, its bond allocation helps it hold up relatively well.
Money from individual investors who need volatility management for retirement accounts or long-term funds keeps flowing in. It is being chosen as an alternative by investors who find it hard to manage asset allocation manually.
Strengths and Weaknesses
Its strengths are the convenience and stability of diversifying across global assets at low cost, but it may lag during explosive equity rallies.
💪 Key Strengths
⚠️ Risks to Watch
Alternative ETFs and Related Products
AOR in the table raises the equity weighting and leans toward growth, while AOA takes an aggressive stance with a considerably higher equity weighting. By contrast, AOK is a more conservative choice with an even lower equity weighting. Depending on their risk tolerance, investors can pick one of these series, or combine IVV, which is equity-heavy, with IUSB, which is bond-heavy, to build their own allocation.
Peer Comparison ETFs| Ticker | Name | Price | Change | AUM | Total Expense Ratio | Dividend Yield | 1Y |
|---|---|---|---|---|---|---|---|
 AOR | iShares Core 60/40 Balanced Allocation ETF | $68.78 | +0.2% | $3.9B | 0.15% | 2.64% | +5.0% |
 AOA | iShares Core 80/20 Aggressive Allocation ETF | $97.53 | +0.3% | $3.4B | 0.15% | 2.16% | +8.2% |
 AOK | iShares Core 30/70 Conservative Allocation ETF | $40.69 | +0.0% | $854.5M | 0.15% | 3.49% | -0.2% |
 HNDL | Nasdaq 7HANDL Index ETF 1.23x Shares | $22.04 | -0.1% | $636.3M | 0.94% | 7.13% | -2.1% |
 MPRO | Monarch ProCap Index ETF | $32.83 | -0.3% | $252.7M | 1.03% | 1.83% | +6.3% |
Top Holdings| Ticker | Name | Weight | Price | Change | Market Cap | P/E | Dividend Yield |
|---|---|---|---|---|---|---|---|
 IUSB | iShares Core Universal USD Bond ETF | 0.99% | $44.69 | -0.2% | $0.0M | - | 4.35% |
 IVV | iShares Core S&P 500 ETF | 0.47% | $775.65 | +0.3% | $0.0M | - | 1.08% |
 ESGD | iShares Trust iShares ESG Aware MSCI EAFE ETF | 0.23% | $102.94 | +0.0% | $0.0M | - | 3.33% |
 AGG | iShares Core U.S. Aggregate Bond ETF | 0.17% | $95.89 | -0.2% | $0.0M | - | 4.14% |
 IEMG | iShares Core MSCI Emerging Markets ETF | 0.09% | $77.33 | +1.5% | $0.0M | - | 2.32% |
Investor Checkpoints
These are the key factors to consider when investing in AOM. It is advisable to decide based on your own investment horizon and risk tolerance, judging whether the current asset allocation ratio is appropriate.
| Checkpoint | What to Check | Current Status |
|---|---|---|
| 📈 Stock and Bond Weights | Confirm that the 40:60 split fits your risk profile | Needs review |
| 💰 Total Expense Ratio | Review the effective cost level under the fund-of-funds structure | On the low side |
| 📅 Rebalancing Frequency | Check the semiannual weight adjustment policy and whether it is carried out | Maintained |
| 🌍 Global Diversification | Check the share of non-US assets and exposure by country | Adequate |
The high bond weighting makes it stable, but there is a risk of bond price declines when interest rates rise, and the limited equity weighting may make it difficult to defend real returns during periods of inflation.
It is an all-in-one solution designed for investors who find it cumbersome to manage asset allocation themselves. For moderate investors who value stability but do not want to give up all growth, it can serve as an excellent core holding.
SubscribeDisclaimer: This content is for informational purposes only and does not constitute investment advice. All investment responsibility lies with the investor.
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