Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Maybe Smart Beta Funds Are Not So Smart? Not Rated 0.0 Email Routing List Email & Route  Print Print
Tuesday, February 23, 2016

Maybe Smart Beta Funds Are Not So Smart?

News summary by MFWire's editors

Everywhere you turn, fundsters from firms of all shapes and sizes are catching smart beta fever. Now one of smart beta's proponents is shouting "you've gone too far!"

Rob Arnott
Research Affiliates
Chairman, Chief Executive Officer
Last week Research Affiliates chief Rob Arnott (along with RA's Noah Beck, Vitali Kalesnik, and John West) issued an ominously titled report, "How Can 'Smart Beta' Go Horribly Wrong?" Arnott and his team predict, among other things, "the reasonable probability of a smart beta crash as a consequence of the soaring popularity of factor-tilt strategies" and worry that smart beta providers are "at risk of encouraging performance chasing, under the rubric of smart beta." (Meanwhile, Morningstar is instead labeling such strategies as "strategic beta", eschewing any label regarding the strategies' smarts or lack thereof.)

"If so, then smart beta is, well, not very smart," the RA folks write.

Attracta Mooney of the Financial Times reported on Arnott's worries.

The RA report is labeled as the first of a series on smart beta. 

Edited by: Neil Anderson, Managing Editor


Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE

0.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2024: Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Raw XML
Add to My Yahoo!
follow us in feedly




©All rights reserved to InvestmentWires, Inc. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use