iShares MSCI ACWI ex U.S. ETF (ACWX US) – Portfolio Construction Methodology

The underlying MSCI ACWI ex USA Index delivers free-float market-cap exposure to large- and mid-cap equities across Developed and Emerging Markets outside the US, targeting ~85% coverage of each country’s investable universe. Eligibility follows MSCI Global Investable Market Indexes rules: new inclusions must have free-float market cap ≥50% of the applicable size-segment cutoff, meet foreign-room thresholds (full inclusion when foreign room ≥25%; adjustment if 15–25%), and pass liquidity screens based on ATVR and trading frequency (typical DM thresholds ≥20% 3- and 12-month ATVR/≥90% trading; EM ≥15%/≥80%). Constituents are weighted by free-float market cap after applying foreign-room and other adjustment factors. The index is maintained with quarterly reviews (Feb/May/Aug/Nov), with comprehensive semi-annual reviews in May and November that reset size cutoffs and buffers to maintain the 85% country coverage target.

To explore ACWX in more depth, visit our ETF analytics platform for institutional-grade insights — including performance and risk metrics, correlations, sensitivities, and factor exposure: https://www.etfstrategy.com/etf/ACWX_US