Have Strategic-Beta ETFs Delivered for Investors?
Despite their advantages, on average, these funds haven't been a clear improvement over their cap-weighted counterparts.
A version of this article appeared in the June 2017 issue of Morningstar ETFInvestor. Download a complimentary copy of ETFInvestor here.
Strategic-beta exchange-traded funds track indexes that make rules-based, active bets in an attempt to deliver better returns, less risk, or some combination of the two as measured against a conventional broadly diversified, market-cap-weighted index.