Side-stepping ‘multifactor’ parameters because their performance and risk exposure is best evaluated against broad emerging market ETFs, our Markets Factors list is dedicated to (mostly) unique features
- Momentum
- Size – small- / large-cap equity securities
- Dividends (also Return & Yield)
- Volatility (risk exposure)
The goal is to gain information about factor-driven selections over the economic cycle
Securities (and funds) characterized by a unique factor may well perform very differently as the economy moves from expansion to recession (and the reverse)
Consequently, one does well not to compare the funds indiscriminately – today’s losers may well be tomorrow’s hares…
