TEQI: T. ROWE PRICE EQUITY INCOME ETF
What this ETF is trying to do
The T. Rowe Price Equity Income ETF (TEQI) is an exchange-traded fund listed on the NYSE. While the specific strategy isn't detailed in the data, the name suggests it focuses on stocks that provide income. This ETF holds a variety of different companies, including large names like Amazon, Microsoft, and Apple.
What the numbers show
When looking at an ETF, it is important to understand two different types of returns: price return and total return.
• Price Return only measures how much the share price has changed.
• Total Return includes both the change in share price and any cash distributions (dividends) paid out to investors.
For TEQI, the numbers show growth in both areas:
• Year-to-Date (YTD): The price return is approximately 13.86%, while the total return is higher at approximately 15.09%.
• One Year: The price return was approximately 17.35%, and the total return was approximately 19.25%.
• Three Years: The price return was approximately 55.60%, and the total return was approximately 64.09%.
To visualize this, the estimated price from roughly one year ago was $43.83. The current price is $51.43.
Top Holdings:
The following are some of the largest companies held by this ETF (note that this is a partial list):
• Amazon.com Inc: 6.19%
• Microsoft Corp: 5.80%
• Apple Inc: 4.22%
• Metlife Inc: 2.25%
• Southern Co: 1.86%
Income and distribution explanation
Some investors look for ETFs that pay them cash regularly. This is called a distribution yield. TEQI has a distribution yield of approximately 1.49%. This means the cash paid out is about 1.49% of the ETF's price.
The data shows that TEQI usually pays distributions quarterly, and it has made 4 payments over the last 12 months. It is important to remember that a distribution yield is not the same as total return.
NAV erosion explanation
"NAV" stands for Net Asset Value, which is essentially the value of everything the ETF owns. NAV erosion happens when the value of the underlying investments drops significantly over time.
For TEQI, the erosion-risk score is 100, and the label states "No price erosion detected." The erosion severity is rated as "good," and there is no severe erosion-risk flag.
Pros
• The ETF has shown positive price returns and total returns over the one-year and three-year periods.
• The data shows no detected price erosion.
Cons
• The list of holdings provided is only a partial list, so you are not seeing every company the ETF owns.
• Holdings can change over time.
Beginner takeaway
When studying TEQI, notice that the total return is higher than the price return. This happens because the ETF provides both share price growth and cash distributions. Always look at the total return to see the full picture of how an investment has performed.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | AMAZON.COM INC | AMZN | 6.19% |
| 2 | MICROSOFT CORP | MSFT | 5.80% |
| 3 | APPLE INC | AAPL | 4.22% |
| 4 | METLIFE INC | MET | 2.25% |
| 5 | SOUTHERN CO | SO | 1.86% |
| 6 | JPMORGAN CHASE & CO | JPM | 1.79% |
| 7 | STATE STREET INSTL US GOVT MMKT PREMIER | GVMXX | 1.79% |
| 8 | TOTALENERGIES SE | n/a | 1.78% |
| 9 | CHARLES SCHWAB CORP | SCHW | 1.75% |
| 10 | CITIGROUP INC | C | 1.63% |