Factor Zoo or Unicorn Ranch?

According to Morningstar, as of June 2016, the assets in smart beta exchange-traded products totaled $490 billion. BlackRock forecasts smart beta investing using size, value, quality, momentum, and low-volatility factors will reach $1 trillion by 2020 and $2.4 trillion by 2025. This annual growth rate of 19% is double the growth rate of the entire…