FLSA: FRANKLIN FTSE SAUDI ARABIA ETF
What this ETF is trying to do
The FRANKLIN FTSE SAUDI ARABIA ETF (ticker: FLSA) is an exchange-traded fund that focuses on companies in Saudi Arabia. While the full list of holdings can change, its top holdings include AL RAJHI BANK (14.18%) and SAUDI ARABIAN OIL CO (11.34%). Other large holdings include SAUDI NATIONAL BANK (8.96%) and SAUDI ARABIAN MINING CO (7.00%).
What the numbers show
The current price of one share is $31.23. An estimated price from roughly one year ago was $34.95.
When looking at this ETF, it is important to understand the difference between "price return" and "total return." Price return only tracks how much the share price itself has changed. Total return includes those price changes plus any cash distributions (dividends) paid to investors.
• One-Year: The one-year price return was -10.65%, while the one-year total return was -7.85%.
• Year-to-Date (YTD): The YTD price return is -0.47%, but the YTD total return is 1.33%.
• Three-Year: The three-year price return was -4.77%, while the three-year total return was 5.85%.
Income and distribution explanation
This ETF has a distribution yield of approximately 3.19%. This number describes the cash distributions paid out relative to the ETF's price. Over the last 12 months, there were two payouts. The data shows that these distributions are "irregular" or "less frequent." It is important to remember that a distribution yield is not the same as total return.
NAV erosion explanation
"NAV erosion" refers to a decline in the value of the underlying assets held by the fund. This ETF has an erosion-risk score of 75, which is labeled as "mild price erosion." This is an erosion-risk measurement used to track how much the share price has declined over time.
Pros
• The three-year total return is positive at 5.85%.
• The year-to-date total return is positive at 1.33%.
• The ETF provides a distribution yield of approximately 3.19%.
Cons
• The one-year price return and total return were both negative.
• There is a measurement of "mild price erosion."
Beginner takeaway
For new investors, the most important lesson here is that share prices and total returns tell different stories. Even when a share price goes down (a share-price decline), the total return might be higher because of cash distributions. However, distributions do not guarantee that you will make money if the share price continues to fall.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | AL RAJHI BANK | n/a | 14.18% |
| 2 | SAUDI ARABIAN OIL CO | n/a | 11.34% |
| 3 | SAUDI NATIONAL BANK | n/a | 8.96% |
| 4 | SAUDI ARABIAN MINING CO | n/a | 7.00% |
| 5 | SAUDI TELECOM CO | n/a | 6.15% |
| 6 | SAUDI BASIC INDUSTRIES CORP | n/a | 3.96% |
| 7 | ACWA POWER CO | n/a | 3.75% |
| 8 | RIYAD BANK | n/a | 3.28% |
| 9 | ALINMA BANK | n/a | 2.85% |
| 10 | SAUDI BRITISH BANK | n/a | 2.58% |