SMARTER Beta multifactor equity indices

Aberdeen Standard Investments has launched a suite of proprietary SMARTER Beta multifactor equity indices, including five indices denominated in Australian dollars (AUD).

The indices are independently calculated and administered by IHS Markit, and the intellectual property rights are retained and owned by Aberdeen Standard Investments. The indices employ active measures to enhance differentiation and risk-adjusted excess returns.

The five Australian dollar denominated indices include three variants of the Global Equity TR index (AUD) - High Income Multifactor, ESG Multifactor and Low Volatility Multifactor. The Australia Equity TR Index (AUD) is also available in two variants; ESG Multifactor and Low Volatility Multifactor.

"The new indices give Australian investors a proven and more sophisticated smart beta investment approach that can be used to further diversify portfolios and enhance differentiation as well as risk adjusted returns...The use of multifactors and embedded ESG in a smart beta solution provides a complimentary option to our wide range of existing active strategies for institutional investors", Andrew Heyden, institutional director at Aberdeen Standard Investments, said.