New, Imaginative Index Trackers Attract Attention
Finweek English|21 June 2018

Backtesting shows they can outperform traditional indices.

Lucas de Lange
New, Imaginative Index Trackers Attract Attention

Internationally, and in South Africa, investment in exchange-traded funds (ETFs) is increasing, and imaginative developers of indices and the ETFs that track them are continually creating interesting new products.

One that draws quite a lot of attention is the impressive-sounding S&P500 Quality, Value & Momentum Multi-Factor Index, which combines three index themes: quality, which is based on financial health; value stocks, comprising good shares that are temporarily cheap; and momentum stocks, representing strong-running shares.

An important reason for the interest shown in this newbie is that backtesting from 1994 to 2017 shows that it would have outperformed the S&P500 Index by close on 91%. During this period, the S&P500 would have earned an average of 5.5%, while the S&P500 Quality, Value & Momentum Multi-Factor would have yielded 10.5%.

Bu hikaye Finweek English dergisinin 21 June 2018 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

Bu hikaye Finweek English dergisinin 21 June 2018 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

FINWEEK ENGLISH DERGISINDEN DAHA FAZLA HIKAYETümünü görüntüle
THE HEALTH OF SA'S MEDICAL SCHEMES
Finweek English

THE HEALTH OF SA'S MEDICAL SCHEMES

As the Covid-19 pandemic abates, finweek takes a look at the financial performance of some of the largest players.

time-read
7 dak  |
5 November 2021
The effect of Gilbertson's departure
Finweek English

The effect of Gilbertson's departure

With Ntsimbintle Holdings now the major shareholder of Jupiter Mines, it could change SA’s manganese industry.

time-read
3 dak  |
5 November 2021
Making money from music
Finweek English

Making money from music

Why investors are increasingly drawn to the music industry.

time-read
3 dak  |
5 November 2021
Conviction is key
Finweek English

Conviction is key

Sandy Rheeder plays a critical role in Mukuru’s mission to open up financial services to the emerging consumer market in Africa through tailor-made technology solutions and platforms.

time-read
5 dak  |
5 November 2021
The post-pandemic toolkit
Finweek English

The post-pandemic toolkit

How CFOs can use technology to support growth.

time-read
4 dak  |
5 November 2021
Big city living exodus
Finweek English

Big city living exodus

Mini cities like Waterfall City and Steyn City are redefining city-style apartment living.

time-read
3 dak  |
5 November 2021
Big compact, big value
Finweek English

Big compact, big value

Handsome, with a hefty level of standard specification, the roomy Haval Jolion compact crossover is a great value proposition.

time-read
3 dak  |
5 November 2021
On barriers to entry
Finweek English

On barriers to entry

There are various ways in which a company or sector can achieve competitive dominance. They usually make for good investments.

time-read
2 dak  |
5 November 2021
Fear and greed in one index
Finweek English

Fear and greed in one index

To buck the trend, when markets are hot or cold, is a tough thing to do. However, it can deliver solid returns.

time-read
3 dak  |
5 November 2021
Africa's largest data centre facility coming soon
Finweek English

Africa's largest data centre facility coming soon

Vantage Data Centers plans to invest over R15bn for its first African data centre facility in Attacq’s Waterfall City.

time-read
3 dak  |
5 November 2021