What is smart beta?
Smart beta is the next evolution of investing.
Smart beta is the term given to ETFs (Exchange Traded Funds) which track an index that differs from the traditional market capitalisation approach of selecting shares, bonds or other assets. That is, smart beta ETFs take a “smarter” and more considered approach to what goes into the fund other than just the size of the company.
Smart beta combines the best of active and passive investing: having the potential for better investment outcomes while being rules-based, transparent and cost efficient.
1 in 2
financial professionals plan to increase their smart beta allocation in 2021
is the number 1 motivation for using smart beta
are satisfied with
Source: 2020 VanEck Australian smart beta survey, which captured the opinions of more than 500 Australian financial advisers and brokers. This is the largest survey of its kind worldwide.