By Michael Venuto
Toroso Investments
Published in ETF.com
The concept of systematically alternatively weighting an established index has been around for many years, as evidenced by the success of mutual funds from Dimensional Fund Advisors.
In the world of ETFs, this alternative-weighting concept has come to be known as “smart beta,” and represents one of the fastest-growing segments of the ETF marketplace. Many investors are skeptical of this trend and regard “smart beta” as simply a marketing term.