Scientific Beta

The Economist: "To tackle style bias, EDHEC, a French business school, offers what it inevitably calls “smart beta 2.0”—over 2,000 indices that allow investors to, for example, diversify exposure to one industry."

The Economist July 2013

"(...) “Smart beta” is an approach that tries to enhance the return from tracking an asset class by deviating from the traditional “cap-weighted” approach, in which investors simply buy shares or bonds in proportion to their market value. The sector is still small: there is just $142 billion in smart-beta funds, compared with more than $2 trillion stashed in hedge funds. But the concept is catching on. (...) To tackle style bias, EDHEC, a French business school, offers what it inevitably calls “smart beta 2.0”—over 2,000 indices that allow investors to, for example, diversify exposure to one industry. (...)"