Why Going Conservative Is 'AOK' in Markets

The video discusses the iShares Core Conservative Allocation ETF, traded under the ticker AOK. It follows a conservative risk allocation strategy, investing 70% in bonds and 30% in equities. The fund includes sovereign, corporate, and mortgage debt, and has amassed $475 million in assets with a 0.25% expense ratio. Since its 2008 launch, AOK has returned nearly 70% and is rated positively by Bloomberg Intelligence, highlighting its proprietary weighting system.

What is the primary goal of the AOK ETF?

• To invest solely in equities

• To maximize short-term profits

• To mimic a conservative risk allocation strategy

• To focus on high-risk investments

What percentage of AOK's fund is invested in bonds?

• 30%

• 50%

• 90%

• 70%

Which types of debt are included in AOK's investment mix?

• Only corporate debt

• Sovereign, corporate, and mortgage debt

• Only mortgage debt

• Only sovereign debt

What is the expense ratio of the AOK ETF?

• 75 basis points

• 25 basis points

• 10 basis points

• 50 basis points

How has AOK performed since its launch in 2008?

• It has returned almost 90%

• It has returned almost 70%

• It has returned almost 30%

• It has returned almost 50%