FYI: If you surveyed a thousand different people about which investing factors are the best choice for the individual investor, you’d get a thousand different answers. Some of those answers would be due to personal preferences, while others would be influenced by the actual performance of which factors are performing the best or worst.
In recent years, the ETF marketplace has become littered with factor funds in all shapes and sizes. Factor investing, according to one definition, is an investment approach that targets specific drivers of return across asset classes. As such, factor funds generally can be divided into two basic types: macroeconomic and style.
Regards,
Ted
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