The Index Is Dead. Long Live The Index.

June 24, 2013

The Balancing Act
Steven Schoenfeld, in "Perfection Impossible," highlights that index development is a process with inherent contradictions and tensions. One tries to provide a good measure of the opportunity set for an asset class or style at a given point in time, but must balance the abstract desire for a perfect measure against practical considerations of fund operations. All major index providers tackle operational issues with features such as free-float adjustments and banding/migration schemes. CRSP is no different in this respect, though the attention we pay to costs borne by the investor separates the CRSP Indexes from others.


Find your next ETF

Reset All