Our comprehensive coverage of small-cap ETFs, based on the S&P 600 and Russell 2000 indices, extends to mid-cap S&P 400 funds as well
Although the palette of factors chosen by asset managers is very diverse, the commonality of the underlying securities is reflected by a slightly larger risk exposure on average
Notably, selective factor weighting of the assets has maintained fund volatility within lower bounds in many ETFs
Because the relative importance of the factors driving selections varies through the economic cycle, fund performance and risk exposure will necessarily be marked by profound changes
Future results of the funds will almost certainly not resemble past performance, lending little value to one-time comparisons over a single time period – analysis over extended and varying time frames is warranted …

