22 Sep 2021
The demand for custom indexing
By Staff Writer
Quant technologies provider SigTech says because the current equity bull market has coincided with an exponential rise of indexing, a significant part of inflows into funds and ETFs over the last decade have been allocated to market capitalisation-weighted (MCAP) indices. This has created, often unintentionally, risk issues for many investors, such as over-exposure to regions and sectors – in particular the US, technology, communications services and consumer sectors.
