By: Ron Bundy, CEO, Benchmarks North America
In case you haven’t heard: Smart beta – including products based on the FTSE RAFI™ Fundamental Index™ – is growing and broadening. According to Morningstar, smart beta is growing faster than both the broader exchange traded product (ETP) market and the global asset management industry. From June 2014 to June of 2015, worldwide assets rose from $396 billion to $497 billion; and in the United States, “strategic” beta ETPs account for approximately 21 percent of total ETP assets. So it’s safe to say smart beta has arrived.