A couple of years ago a new kind of fund, the low volatility ETF, was first offered by fund companies. It fits in a new fund category known as smart beta, which offers a different way to weight index funds outside of the typical market cap weighting used by most indexes.
It didn’t take long for these new funds to become popular. Much of that popularity is due to its initial performance. The funds did more than advertised and investors started chasing returns. But are low volatility ETFs actually worth it? Or is there a better option? Continue Reading…