The AlphaDEX ETFdb Portfolio is now available to ETFdb Pro members, offering an option for those seeking to build a well-diversified portfolio comprised of ETFs from the AlphaDEX suite. This ETFdb portfolio is intended for those with a long-term investment horizon as it includes a heavier tilt towards equity holdings, although the fundamental screening process employed by AlphaDEX funds should help ease the inherent stock market volatility over time. Investors ought to consider this alternative weighting methodology since more often than not, traditional cap-weighted index funds fall victim to some serious drawbacks; one common pitfall being that the underlying portfolio employs a biased, “bigger means better”, investment approach. Historical performance shows that the AlphaDEX methodology most certainly offers the potential to generate alpha over time. For example, during the market rebound in 2009, FEX, which selects stocks from the S&P 500 index, outperformed its benchmark index by as much as [...] Click here to read the original article on ETFdb.com. Related Posts: Large Cap ETF Showdown: SPY vs. FEX Closer Look At Quant-Based ETFs AlphaDEX ETFs Turn In Impressive Performance Beyond SPY: Nine Alternatives To S&P 500 ETFs Beyond SPY: Five Outperforming Large Cap ETFs
The AlphaDEX ETFdb Portfolio is now available to ETFdb Pro members, offering an option for those seeking to build a well-diversified portfolio comprised of ETFs from the AlphaDEX suite. This ETFdb portfolio is intended for those with a long-term investment horizon as it includes a heavier tilt towards equity holdings, although the fundamental screening process employed by AlphaDEX funds should help ease the inherent stock market volatility over time. Investors ought to consider this alternative weighting methodology since more often than not, traditional cap-weighted index funds fall victim to some serious drawbacks; one common pitfall being that the underlying portfolio employs a biased, “bigger means better”, investment approach. Historical performance shows that the AlphaDEX methodology most certainly offers the potential to generate alpha over time. For example, during the market rebound in 2009, FEX, which selects stocks from the S&P 500 index, outperformed its benchmark index by as much as [...]
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