In more recent years, a rash of ETF strategies has helped diversify the universe away from traditional beta indexing methodologies that track widely observed benchmarks like the S&P 500. Now, ETF investors are able to access various markets from commodities to specific factor or smart beta plays.
With the global equity markets pushing toward record highs, ETFs have become increasingly appealing to investors as a way to capture the quick growth through the easy-to-use investment vehicle.
“We’ve had a market in which virtually every asset is up,” Dave Nadig, chief executive of ETF.com, told the Financial Times. “That is obviously an incredible tailwind to any investment market.”
Nadig expects the ETF market, which he describes as “right in the juicy point,” to continue forging ahead, particularly in Europe and Asia, where its adoption came a little later than in the US.
For more information on ETFs, visit our ETF Performance Reports category.