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FLJH - ETF AI Analysis

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FLJH

Franklin FTSE Japan Hedged ETF (FLJH)

Rating:69Neutral
Price Target:
The Franklin FTSE Japan Hedged ETF (FLJH) benefits from strong contributions by top holdings like Toyota and Mitsubishi UFJ Financial Group, which showcase robust financial performance, positive technical indicators, and strategic positioning in their industries. However, weaker holdings such as SoftBank Group, with significant leverage and cash flow challenges, slightly weigh on the fund's overall rating. A key risk factor is the ETF's concentration in Japanese equities, which may expose investors to regional economic fluctuations.
Positive Factors
Strong Recent Performance
The ETF has delivered solid returns over the year-to-date and three-month periods, indicating strong momentum.
Low Expense Ratio
With a very low expense ratio, this ETF allows investors to keep more of their returns compared to higher-cost funds.
Sector Diversification
The ETF spreads its investments across multiple sectors, reducing the impact of poor performance in any single industry.
Negative Factors
Geographic Concentration
The ETF is heavily focused on Japan, which limits exposure to other global markets and increases vulnerability to local economic risks.
Underperforming Top Holding
Toyota Motor, the largest holding, has shown weak year-to-date performance, which could drag on overall returns.
Limited U.S. Exposure
The ETF has minimal exposure to U.S. companies, which may reduce its ability to benefit from growth in the world's largest economy.

FLJH vs. SPDR S&P 500 ETF (SPY)

FLJH Summary

The Franklin FTSE Japan Hedged ETF (FLJH) is an investment fund that lets you invest in a wide range of Japanese companies while reducing the impact of currency fluctuations between the Japanese yen and the U.S. dollar. It follows the FTSE Japan Capped Hedged Index and includes well-known companies like Toyota and Sony, along with others from industries such as technology, finance, and consumer goods. This ETF is a great option for investors looking to diversify their portfolio internationally and gain exposure to Japan’s economy, which is known for its innovation and industrial strength. However, it’s important to note that the ETF’s performance is tied to the Japanese market, so if Japan’s economy struggles, the value of your investment could go down.
How much will it cost me?The Franklin FTSE Japan Hedged ETF (FLJH) has an expense ratio of 0.09%, meaning you’ll pay $0.90 per year for every $1,000 invested. This is lower than average because it’s a passively managed fund that tracks an index, which typically keeps costs down.
What would affect this ETF?The Franklin FTSE Japan Hedged ETF (FLJH) could benefit from Japan's advancements in technology and industrial sectors, as well as potential growth in consumer markets driven by economic recovery or increased global trade. However, challenges such as rising interest rates, economic slowdowns in Japan, or regulatory changes affecting key holdings like Toyota and Sony could negatively impact the ETF's performance. Additionally, fluctuations in the U.S. dollar and yen exchange rates, despite the hedging strategy, may still influence returns.

FLJH Top 10 Holdings

The Franklin FTSE Japan Hedged ETF (FLJH) leans heavily on Japan’s industrial and technology sectors, with names like Toyota and Sony playing key roles. Toyota’s performance has been steady but uninspiring, while Sony’s rising momentum has been a bright spot, driven by strong revenue growth. Financial giants like Mitsubishi UFJ and Sumitomo Mitsui are showing mixed signals, with solid gains offset by concerns over leverage. Meanwhile, SoftBank’s volatility adds a layer of unpredictability. Overall, the fund offers a broad slice of Japan’s economy, but its concentration in industrials and financials may amplify sector-specific risks.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Toyota Motor3.93%$4.49M¥40.10T16.34%
81
Outperform
Sony3.19%$3.64M¥26.81T43.55%
74
Outperform
Mitsubishi UFJ Financial Group3.17%$3.63M¥27.06T32.28%
76
Outperform
Hitachi,Ltd.2.50%$2.86M¥21.52T25.14%
77
Outperform
Sumitomo Mitsui Financial Group1.99%$2.27M¥17.14T29.46%
79
Outperform
SoftBank Group1.82%$2.08M$140.71B70.46%
55
Neutral
Advantest1.68%$1.93M¥13.96T108.76%
73
Outperform
Tokyo Electron1.66%$1.90M¥14.25T30.55%
73
Outperform
Nintendo Co1.59%$1.82M¥15.27T60.21%
63
Neutral
Mizuho Financial Group1.54%$1.77M¥13.08T39.53%
77
Outperform

FLJH Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
37.75
Positive
100DMA
35.99
Positive
200DMA
33.23
Positive
Market Momentum
MACD
0.26
Positive
RSI
55.86
Neutral
STOCH
56.09
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FLJH, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 38.73, equal to the 50-day MA of 37.75, and equal to the 200-day MA of 33.23, indicating a bullish trend. The MACD of 0.26 indicates Positive momentum. The RSI at 55.86 is Neutral, neither overbought nor oversold. The STOCH value of 56.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FLJH.

FLJH Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$115.31M0.09%
$473.04M0.15%
$418.89M0.45%
$197.26M0.80%
$104.33M0.58%
$100.08M0.48%
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FLJH
Franklin FTSE Japan Hedged ETF
38.88
9.59
32.74%
EWJV
iShares MSCI Japan Value ETF
DBJP
Xtrackers MSCI Japan Hedged Equity ETF
FJP
First Trust Japan AlphaDEX Fund
OPPJ
WisdomTree Japan Opportunities Fund
JPXN
iShares Japan Large-Cap
Glossary
BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―
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