etf-analysis

Does the market capitalization of an electronically traded fund match its underlying asset value?

No.

On Jan 11, I ran the analysis on iShares Core S&P 500 ETF (IVV) with the following results:

Name:    iShares Core S&P 500 ETF
Symbol:    IVV
Id:    239726
CSV URL:    https://www.ishares.com/us/products/239726/ishares-phlx-semiconductor-etf/1467271812596.ajax?fileType=csv&fileName=SOXX_holdings&dataType=fund
              open    high     low   close   volume
date                                               
2019-01-11  259.24  260.52  258.57  260.37  5111675
Estimated holdings value of IVV:    162,938,811,602.75012
Estimated market capitalization of IVV:    155,258,631,000.0
Undercapitalization:    155,258,631,000.0
Ratio:    0.049467

The underlying holdings are worth $155,258,631,000.00 more that the market capitalization. This is ~5% of the market capitalization.

What’s going on?

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