Does anyone use them? What are your thoughts?
Thanks for your time.
I use them extensively.
My thoughts? I think they're an excellent investment vehicle.
great for fee based accounts to provide the core allocation holding. depending on clients risk tolerance I then use a certain percentage of assets for tactical strategies, such as actively managed funds to add extra alpha. for instance i may use the russell 1000 growth etf for broad exposure, then use janus 40 or marsico to try and gain some added return.
My only beef with them is the market weighting of the Russell and S
& P indexes. When you have 30% of the perfromance coming from 30
out of 1000 companies, it is not really as broad as one may think.
We do use them quite a bit.
I use Dimensional (DFA) out performes the indexes by 200 to 400 Beeps! Check them out
We are looking at powershares. I don’t see them as indexes
though. They claim the indexes are flawed as per my last post,
but all in all, I view Powershares as mutual funds.