Smart Beta 2014

Tennis ballsSmart beta funds will not work in all market cycles and some “batting” between the factors is necessary. David Waller finds that minimum volatility’s recent track record is a good example.

DominosThe most popular smart beta strategy of recent years has proved frustrating for investors after underperforming as volatility reduced and markets boomed, finds David Waller.

BackgammonSmart beta indices are in vogue, but how much money is actually invested in them? George Mitton reports.

In January 2014, Russell Investments conducted a survey of equity investment decision makers from almost 200 asset owners across North America, Europe and the Middle East to better understand perceptions of smart beta.

Funds Europe asks those in the know about the burning issues facing the industry, such as how will smart beta affect fund management and what are the risks?

Trottier and SamamaFor Amundi, there is no single solution to smart beta, and appreciating the diverse range of approaches is vital. This is what Amundi’s clients are doing, or planning to do.

Office workerFelix Goltz and Antoine Thabault assess the performance and implementation benefits of multi-factor allocations.

Francois MilletIt is important to understand the difference between smart beta and factor indexing in order to obtain the right mix of betas to control risks, Francois Millet, of Lyxor, says.

BubblesThe use of simulated track records and vague language around methodology is heralding calls for more transparency in the smart beta market. But, discovers Nicholas Pratt, there are different views on how this should be achieved.