In a past post, I gave an introduction on smart beta and started to cover the weighting system these funds use. Continuing with this theme, today I am going to further discuss weightings.
Investors have been seeing more of the term "smart beta" over the past few quarters, and I wanted to address what it means and how it works in this post. Over recent years, there has been an influx of newly created funds that utilize the smart beta approach. At first glance, there are over 100 funds currently utilizing the strategy.