Market cap-weighted U.S. equity index funds are performing well now due to both structural advantages and cyclical factors, says Morningstar's Ben Johnson.
Markets, factor investing, and investor behavior were all hot topics at our seventh annual Morningstar ETF Conference.
Rock-bottom fees on core ETFs can be good for both investors and asset managers, says Morningstar’s Ben Johnson.
A relatively high fee and structural impediments encumber SPDR S&P 500's performance.
New funds are coming to market at a record pace, complexity is on the rise, and fees are under pressure.
Two of the mutual fund world's biggest thinkers discuss the efficient markets hypothesis; the value, momentum, and small-cap effects; and which factors will persist.
Financial Select Sector SPDR ETF is paying a special dividend as it adapts to reflect changes to its benchmark index.
Morningstar's Ben Johnson says passive strategies aren’t making the market less efficient.
Playing favorites here is difficult given that each of these strategies is designed to deliver somewhat different outcomes.
With a low 0.09% fee, Goldman Sachs ActiveBeta U.S. Large Cap Equity ETF looks to exploit time-tested factors in a fairly simple, highly transparent manner.
If history is any guide, investors should expect future returns to be muted at best.
But this gold-backed ETP doesn't shine quite as brightly as its lower-priced rival.
Don’t put all your factor “eggs” in one basket.
A balanced, multifactor approach will help investors stay diversified and mitigate the ups and downs of any given style.
Schwab US Dividend targets steady dividend-payers and is the least expensive dividend-oriented ETF available.
What is net asset value? Why does it matter? And how can you ensure that you are buying and selling ETFs at a fair price?
There's a lot to like about this fund—save for its relatively steep price.
Parsing the details of index methodologies is central to understanding the processes of index funds and ETFs and informs our overall assessment of these funds' investment merit.
Indexes can track the same general market but vary significantly in their ingredients and performance, says Morningstar's Ben Johnson.
A few simple checks can help investors avoid funds that are destined for the dustbin of history.
Financial Select Sector SPDR ETF will be paying a special dividend as it adapts to reflect changes to its benchmark index.
Though there are now over 1,900 exchange-traded products to choose from, most of us could build a perfectly suitable, low-cost portfolio selecting a small handful of the 100 largest.
Research Affiliates' Rob Arnott discusses how valuations shape long-term future returns.
A proliferation of products has blurred the lines between "smart beta" and factor-based investing, says Research Affiliates' Rob Arnott.
There are fewer large market inefficiencies than many think, but that doesn’t mean there aren’t behavioral biases that investors can exploit.
Investor demographics are slowly turning in favor of the pairing of impact-oriented strategies and the exchange-traded fund chassis, and investors' need for relevant analytics is growing as a result.
The biggest costs investors tend to incur don’t show up on a fact sheet but are a product of their own bad behavior.
Short of an unlikely breach of investor trust, Morningstar’s Ben Johnson thinks the fund giant will continue its momentum.
Our semi-annual Active/Passive barometer shows that expenses are one of the only reliable predictors of success, writes Morningstar’s Ben Johnson.
Dollar-weighted returns suggest investors use passive funds more effectively than active funds--but a number of caveats footnote that conclusion, says Morningstar’s Ben Johnson.
Morningstar's Ben Johnson discusses the latest performance findings from Morningstar's Active/Passive Barometer report.
Schwab U.S. Dividend Equity ETF is a solid core holding with an income orientation.
Some newly minted currency hedgers seem to lack the fortitude necessary to reap the long-term benefits of hedging currency risk.
Morningstar's Ben Johnson explores some reasons why quality stocks may outperform, and how investors can incorporate them into a portfolio.
Much of what investors need to know about strategic-beta funds has already been learned from decades of examining active strategies and how investors vet them and put them to use.
Quality may or may not stand on its own, but it seems to bring out the best in value stocks and small caps.
Although they're often collectively called 'ETFs,' exchange-traded funds, exchange-traded notes, and investment trusts have important differences investors should be aware of.
Value's decade-long slump is testing contrarians' patience.
A flood of safe-haven buyers causes a precarious situation in this gold exchange-traded product.
As some investors are giving up on value stocks, these ETFs offer contrarians a potent and a tamer way to capture what could be a resurgent value premium.
Traditional benchmarks have a purpose, but they are impersonal and fail to reflect the messy realities of investing.
Despite the profusion of niche ETF products coming to market, investors are still showing a strong preference for low-cost, plain-vanilla equity exposure, says Morningstar's Ben Johnson.
While markets’ efficiency will be forever questioned, there is no question that the costs we incur in investing deduct directly from our returns--it’s simple subtraction.
Buybacks are in vogue, but many investors still prefer good old-fashioned dividends.
Recent events have served up a not-so-gentle reminder of the perils of investing in exchange-traded notes.
A race to lower expense ratios on broad-market ETFs, along with other factors, has pushed the estimated holding costs of many funds to nearly zero, writes Morningstar's Ben Johnson.
Thanks mostly to their underlying strategies and their unique structure, ETFs are relatively more tax-efficient, but they're not immune from taxation.
The problems at Third Avenue are likely isolated, but both active and passive high-yield investors need to be aware of the risks and opportunities today.
Strategy and structure make ETFs more tax-efficient than most actively managed funds, but they're not immune from taxation, says Morningstar's Ben Johnson.
Index funds' low fees are a big advantage, but investors shouldn't look at expenses in isolation when picking a bond fund, says Morningstar's Ben Johnson.