Three distinct value ETFs outperform the market in 2026, each using unique strategies to capture value gains.

In 2026, three value-focused ETFs—Avantis U.S. Large Cap Value (AVLV), Avantis U.S. Small Cap Value (AVUV), and Schwab Fundamental U.S. Large Company (FNDX)—have outperformed the broad market by employing different approaches to value investing. AVLV uses a profitability filter to avoid value traps in large caps, AVUV targets deep-value small caps with higher volatility but strong long-term returns, and FNDX weights companies by economic fundamentals rather than market cap, offering a steady value tilt. These strategies reflect a renewed market preference for cash-generative businesses amid higher interest rates and shifting mega-cap leadership. Investors can choose based on their risk tolerance and portfolio goals, with AVLV suited for smoother large-cap value exposure, AVUV for high-conviction small-cap value, and FNDX as a core large-cap holding that reduces mega-cap concentration.