FYI: Used correctly, factor investing may perform better than traditional beta, enhancing risk management and diversification within a portfolio and providing opportunities to improve risk-adjusted returns versus market-weighted indexes. Though multifactor investing may sound like an option solely available in an active strategy, technological advances, regulatory requirements and greater innovation are changing the active versus passive debate.
Regards,
Ted
https://www.etf.com/sections/etf-industry-perspective/flexshares-multifactor-investing-new-reality