An IndexUniverse writer wrote a defense of indexing firms this week, questioning the benefits of self-indexing by ETF firms:

Call me old-fashioned, but I’m a firm believer in everyone playing their roles within the ETF space. As I mentioned in my previous blog, when ETF issuers get involved in other areas of the business — whether it’s trading or indexing — investors will likely find their interests come secondary in business decisions. Simply put, self-indexing allows for ETF issuers to make compromises that may not fall in line with best practices within the index space.

Writer Ugo Egbunike goes on to explain why self-indexing doesn't always result in lower costs.

For more details, check out the original article here. 

Edited by: Ben Geier


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