Traditional Active Managers Fear Smart Beta Adoption
Posted on 11/17/2014
Factor-based strategies are gaining foothold among institutional investors of all stripes. One compelling reason is that investors are concerned about the risks of cap-weighted indices. These indices tend to favor large companies and can perpetuate a cycle of overvaluation – think of Enron and Lehman Brothers. These rules-based indices are exhibiting visigoth behavior on […]
- Abu Dhabi Investment Authority
- active management
- GPIF
- money manager
- Norway Government Pension Fund Global
- Public Pension
- smart beta
