BlackRock has extended the iShares European smart beta range.
iShares has launched three multi-factor ETFs: iShares FactorSelect MSCI World Ucits ETF, iShares FactorSelect MSCI USA Ucits ETF, and iShares FactorSelect MSCI Europe Ucits ETF.
Tom Fekete, head of EMEA product for iShares at BlackRock, said: “The FactorSelect series builds upon our existing single factor ETFs, which provide targeted exposure to a single investment theme.
“These new multi-factor ETFs provide exposure to multiple sources of potential excess returns in a single fund, resulting in a diversified strategy that may perform well in different market conditions.
“Investors could consider these smart beta ETFs as a complement to traditional index and active strategies, to potentially enhance diversification and improve returns.”
Deborah Yang, managing director and head of index EMEA at MSCI said: “We are delighted that iShares is expanding its factor ETF range using MSCI indexes.
“Multi-factor exposure is a significant and growing development in indexing, and are increasingly used by investors who want more diversification in a transparent, cost-effective way.”
The funds are physically replicating and are priced with a total expense ratio ranging from 0.35 per cent to 0.50 per cent.
emma.hughes@ft.com