Researching Multi-Factor ETFs? Start Here...

Related: Why Investors Should Always Currency Hedge

DEUS should also be less risky compared to rival mutli-factor ETFs.

“Its explicit inclusion of low volatility enhances its quality tilt (as these two factors are correlated) and should help it hold up a little better during market downturns,” said Morningstar.

Other multi-factor offerings from DWS include the Deutsche X-trackers FTSE Developed ex US Comprehensive Factor ETF (NYSEArca: DEEF), Deutsche X-trackers Russell 2000 Comprehensive Factor ETF (NYSEArca: DESC) and Deutsche X-trackers FTSE Emerging Comprehensive Factor ETF (NYSEArca: DEMG).

For more on smart beta ETFs, visit our Smart Beta Channel.