January 02, 2013 at 10:35 AM EST
'Factor-Based' ETFs Your Broker Forgot to Mention
Editor's Note: This content was originally published on Benzinga.com by The ETF Professor Benzinga Staff Writer. A long-standing staple of the ETF business has been and probably always will be to some extent the passively managed index fund. An index fund in most cases is everything its name implies: A fund constructed using the securities of a specific index be it the S&P 500 (INDEXSP:.INX) the MSCI Emerging Markets Index or another index. Since most indexes are weighted by market capitalization that means most index funds use cap-weighting methodology. Translation: The index's largest holdings are usually those with the ...
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