Ayesha Akbar, portfolio manager at Fidelity Worldwide Investment, examines the usefulness of products that sit somewhere between passive and active investing.
It was, of course, inevitable. The investment debate in recent years has swung from favouring active managers to passive investments. Therefore, it is not surprising that the new big thing in the investment landscape is the rise of ‘smart beta', which sits somewhere in between the two extremes of active and passive investing. Or at least we believe it does. The definition of what constitutes ‘smart', ‘alternative' or ‘exotic' beta - to give it some of its other common names - varies considerably. From our perspective, smart beta is the passive following of a systematic investment strateg...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes
