A Suite of New Multifactor ETFs for Your Watchlist
Credible factors cleverly combined make the MSCI Factor Select ETFs compelling, says Morningstar ETFInvestor editor Ben Johnson.
A version of this article was published in the June 2015 issue of Morningstar ETFInvestor. Download a complimentary copy of ETFInvestor here.
In late April, iShares launched a crop of new multifactor strategic-beta exchange-traded funds, unveiling its FactorSelect suite. The five funds are the latest in a wave of increasingly complex multifactor funds being rolled off asset managers' assembly lines. By our count, 33 of the 88 multifactor strategic-beta ETFs that exist in the U.S. market today were launched in the past 12 months. I think these are some of the best of the bunch.
Ben Johnson does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.