Its report, ‘Smart Beta: 2017 global survey findings from asset owners’, shows the percentage of asset owners reporting an existing smart beta index allocation increased from 36 per cent in 2016 to 46 per cent this year.
In addition, about 41 per cent of those surveyed that are evaluating or using smart beta strategies “anticipate applying environmental, social and governance (ESG) considerations”.
Peter Gunthorp, managing director of research and analytics at FTSE Russell, says: “The results indicate that risk reduction, return enhancement and improving diversification remain as the primary objectives for use of smart beta.
“FTSE Russell has also seen strong interest, particularly from European asset owners, in integrating ESG considerations with smart beta, highlighting a new trend for passive investment strategies.”
KEY NUMBERS
EUROPEAN ETFs/ETPs
$658bn – total assets in ETFs and ETPs listed in Europe.
2,257 – Number of ETF/ETP products in Europe
60 – The number of providers of ETFs/ETPs in Europe
Source: ETFGI
