White paper: Smart Beta 2.0, A Disruptive Innovation

There is a new battlefront in the money management business. New smart beta ETFs are entering the market to compete against actively managed mutual funds. These funds will be formidable competition, offering the possibility of superior performance — traditionally the province only of actively managed funds — lower expense ratios and other advantages. As with every disruptive innovation we have studied, we predict investors will be the ultimate winners. Download our new white paper to learn:

  • Why index-based investing is a new form of active management
  • How to use active share to evaluate funds
  • How our smart beta indexes historically outperform actively managed mutual funds
  • Why ETFs can offer superior tax efficiency over mutual funds
  • How to substitute mutual funds with smart beta ETFs and how it can improve after-fee performance

To read  more download the full white paper, Smart Beta 2.0: A Disruptive Innovation.


This is the third in our white paper series. Download the first in the series, The Knowledge Effect: Excess Returns of Highly Innovative Companies. Download the second in the series, The Gavekal Knowledge Leaders Indexes: Capturing the Excess Returns of Highly Innovative Companies.