DEFA ETF — Holdings & Analysis

With an AUM of $0.01 billion and an expense ratio of 0.35%, DEFA aims to provide investors with a potentially less volatile international equity investment. The fund's adaptive hedging strategy seeks to mitigate the impact of currency movements on returns, differentiating it from non-hedged international equity ETFs. Past performance does not guarantee future results.

iShares Adaptive Currency Hedged MSCI EAFE ETF (DEFA) ETF — Price, Holdings & Analysis

The iShares Adaptive Currency Hedged MSCI EAFE ETF (DEFA) is designed to track the investment results of the MSCI EAFE Adaptive Hedge to USD Index, offering exposure to international equities while dynamically hedging against U.S. dollar fluctuations. With an AUM of $0.01 billion and an expense ratio of 0.35%, DEFA aims to provide investors with a potentially less volatile international equity investment. The fund's adaptive hedging strategy seeks to mitigate the impact of currency movements on returns, differentiating it from non-hedged international equity ETFs. Past performance does not guarantee future results.

ETF Overview

The investment seeks to track the investment results of the MSCI EAFE Adaptive Hedge to USD Index. The fund generally will invest at least 80% of its assets in the component securities and other instruments of the index and in investments that have economic characteristics that are substantially identical to the component securities of the index. The index is an equity benchmark for international stock performance with the foreign currency exposure of the securities included in the underlying index dynamically hedged against the U.S. dollar.

DEFA aims to replicate the MSCI EAFE Adaptive Hedge to USD Index, providing exposure to developed market equities, excluding the U.S. and Canada, while mitigating currency risk. The fund invests at least 80% of its assets in the component securities of the index. By adaptively hedging its currency exposure, DEFA seeks to reduce the impact of fluctuations between the U.S. dollar and the currencies of the underlying securities. This approach can be attractive to investors seeking international equity exposure without the full volatility associated with currency movements. The ETF's top holdings include Nestle SA (2.12%), ASML Holding NV (1.85%), and Roche Holding AG (1.58%). Sector allocations are diverse, with significant exposure to Financial Services (16.7%), Industrials (15.1%), and Healthcare (13.0%). DEFA may be suitable for investors looking for international diversification with a focus on currency risk management. Past performance does not guarantee future results.

Risk Metrics

DEFA's risk profile is influenced by its international equity exposure and currency hedging strategy. While the adaptive hedging aims to reduce currency risk, it does not eliminate it entirely, and the hedging process itself can introduce complexities and costs. The fund's beta of 0.91 (3Y) suggests it is slightly less volatile than the broader market. Sector concentration, with approximately 16.7% in Financial Services and 15.1% in Industrials, could expose the fund to sector-specific risks. The expense ratio of 0.35% will create a drag on performance over time. The fund's relatively small AUM of $0.01 billion could impact liquidity and trading costs. Investors should carefully consider these factors when assessing DEFA's suitability for their portfolios. Past performance does not guarantee future results.

Expense Ratio

0.35%

What does DEFA hold?

Holding	Weight
Nestle SA (NESN)	2.12%
ASML Holding NV (ASML)	1.85%
Roche Holding AG (ROG)	1.58%
LVMH Moet Hennessy Louis Vuitton SE (MC.PA)	1.29%
Novartis AG (NOVN)	1.20%
Toyota Motor Corp (7203)	1.10%
AstraZeneca PLC (AZN.L)	1.04%
Novo Nordisk A/S B (NOVO B)	0.93%
Unilever PLC (ULVR.L)	0.88%
SAP SE (SAP.DE)	0.87%

How Is the Fund Allocated?

Sector	Weight
Financial Services	16.7%
Industrials	15.1%
Healthcare	13.0%
Consumer Cyclical	11.5%
Consumer Defensive	10.4%
Technology	9.9%
Basic Materials	8.1%
Communication Services	5.5%
Energy	3.4%
Utilities	3.4%
Real Estate	3.0%

Country	Weight
United States	96.0%
Other	4.0%

Dividend Yield

2.23%

Invesco QQQ Trust, Series 1 (QQQ) — 0.18% expense ratio
State Street Technology Select Sector SPDR ETF (XLK) — 0.08% expense ratio
State Street SPDR Dow Jones Industrial Average ETF Trust (DIA) — 0.16% expense ratio
State Street Energy Select Sector SPDR ETF (XLE) — 0.08% expense ratio
iShares Russell 2000 ETF (IWM) — 0.19% expense ratio
State Street Financial Select Sector SPDR ETF (XLF) — 0.08% expense ratio
iShares MSCI Emerging Markets ETF (EEM) — 0.72% expense ratio
iShares MSCI EAFE ETF (EFA) — 0.32% expense ratio

iShares Russell 2000 ETF (IWM) (Equity) — 0.19% expense ratio
iShares MSCI Emerging Markets ETF (EEM) (Equity) — 0.72% expense ratio
iShares MSCI EAFE ETF (EFA) (Equity) — 0.32% expense ratio
iShares Russell Mid-Cap ETF (IWR) (Equity) — 0.18% expense ratio
iShares MSCI Emerging Markets Small-Cap ETF (EEMS) (Equity) — 0.72% expense ratio
iShares FinTech Active ETF (BPAY) (Equity) — 0.66% expense ratio

Risk Metrics

Beta: 0.91

Questions & Answers

What is DEFA and what does it track?

The iShares Adaptive Currency Hedged MSCI EAFE ETF (DEFA) seeks to track the investment results of the MSCI EAFE Adaptive Hedge to USD Index. This index is designed to represent the performance of developed market equities, excluding the U.S.

and Canada, while dynamically hedging the currency exposure back to the U.S. dollar.

What is the expense ratio for DEFA?

The expense ratio for the iShares Adaptive Currency Hedged MSCI EAFE ETF (DEFA) is 0.35%. This means that for every $10,000 invested in the fund, investors will pay $35 in annual expenses to cover the costs of managing the ETF.

What are the top holdings in DEFA?

As of 2026-03-15, the top holdings in the iShares Adaptive Currency Hedged MSCI EAFE ETF (DEFA) are: Nestle SA (2.12%), ASML Holding NV (1.85%), Roche Holding AG (1.58%), LVMH Moet Hennessy Louis Vuitton SE (1.29%), and Novartis AG (1.20%).

Is DEFA a good long-term investment?

Whether DEFA is a suitable long-term investment depends on an individual investor's specific financial goals, risk tolerance, and investment horizon.

DEFA offers exposure to international equities with a currency hedging strategy, which may be attractive to investors seeking to mitigate currency risk. The fund's expense ratio of 0.35% should be considered as a factor impacting long-term returns.

How does DEFA compare to similar ETFs?

DEFA differentiates itself through its adaptive currency hedging strategy, which aims to dynamically adjust the hedge ratio based on market conditions. Other currency-hedged international equity ETFs may employ different hedging strategies or track different indices.

DEFA's expense ratio of 0.35% is a key factor to compare against similar ETFs, as lower expenses can lead to higher net returns over time.

Does DEFA pay dividends?

Yes, the iShares Adaptive Currency Hedged MSCI EAFE ETF (DEFA) distributes dividends. As of 2026-03-15, DEFA has a dividend yield of 2.23%.

The dividend yield represents the annual dividend income an investor can expect to receive as a percentage of the fund's share price.