Looking at Morningstar data, the mid-cap asset category has generated an average annualized 8.7% return over the past 15 years with a 17.5 standard deviation, a measure of historical volatility. Meanwhile, over the past 15 years, large-caps generated an average 3.8% return with a 14.9 standard deviation and small-caps returned 8.9% with a 19.8 standard deviation.
Related: Consider These Value ETFs
Other smart beta mid-cap ETFs include the First Trust Mid Cap Core AlphaDEX Fund (NYSEArca: FNX). The fund selects stocks from the S&P 400 Index, but chooses stocks based on growth factors, sales to price and one year sales growth, along with value factors like book value to price, cash flow to price and return on assets.
For more information on middle capitalization stocks, visit our mid-cap category.
PowerShares S&P MidCap Low Volatility Portfolio
