The 'Smart Beta 2013' special report comprises seven separate articles listed below, these can be read individually or as a sequence.

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Smart beta performance sparks investor interest

Smart beta performance sparks investor interest

By James Williams – What was once a black and white choice for investors is now decidedly grey. Previously, the choice was either to go down the passive investment route or pay for the expertise of active managers. The emergence of – or rather growing popularity in – smart beta has changed all that. Now, investors have access to low-cost solutions that not only offer the passive feature of index products but also a range of factors or rules that are implicitly active.

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Adding value in fixed income ETFs

Adding value in fixed income ETFs

By Howard Chan & Fabrizio Palmucci – Today, over 40 per cent of assets in the European fixed income ETF universe are invested in funds that track sovereign bond indices, most of those being plain vanilla benchmarks. While this ratio is falling with the launch of new ETFs in asset classes like corporates, High Yield (HY) etc, there remain many opportunities to add value.

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Actively managed ETFs before the boom

Actively managed ETFs before the boom

By Ross Ellis – Many have associated exchange traded funds as purely passive, beta-indexing tools for basic market exposure. To date, this has been generally true, but the rise of active management in the ETF space may well be the next step in the evolution of the investment vehicle.

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The Smart Beta 2.0 approach

The Smart Beta 2.0 approach

By Noël Amenc – Interest in new forms of indexation, referred to as smart beta strategies, has grown in recent years. Investors are attracted by the performance of these indices compared to traditional cap-weighted indices. However, by departing from cap-weighting, smart beta equity indices introduce new risk factors for investors, and sufficient attention is not presently given to the evaluation of these risks. In addition, the smart beta market appears to be inefficient today, due to restricted access to information, as well as lack of independent analysis.