FYI: Key Points:
.Investors seeking to add smart beta and factor strategies to their portfolios should consider the four craftsmanship elements of product design: 1) universe coverage and weighting mechanism, 2) signal definition, 3) measurement period, and 4) rebalancing frequency.
.Design decisions guided by these craftsmanship elements can help preserve a portfolio’s performance potential by reducing implementation costs.
Regards,
Ted
http://www.etf.com/sections/features-and-news/research-affiliates-craftsmanship-smart-beta?nopaging=1
