Debating 'Fundamental Weighting' and Indexing [View article]
"Fundamental Indexing" is just a bassackwards way of saying they're running a large, slow-trading, mechanical quantitative equity fund.
Not that there's anything wrong with that style of trading! It's great, especially for a fund seeking relative outperformance, to be holding stocks with fundamental or valuation "anomalies," but let's call a spade a spade, it's *mechanical trading.*
I object only to the marketing aspect of its name.
Debating 'Fundamental Weighting' and Indexing [View article]
Not that there's anything wrong with that style of trading! It's great, especially for a fund seeking relative outperformance, to be holding stocks with fundamental or valuation "anomalies," but let's call a spade a spade, it's *mechanical trading.*
I object only to the marketing aspect of its name.