With a plethora of choices, from cap - weighted to smart beta,
currency hedged to low volatility, to quality and
dividend payers, the
options can be pretty overwhelming.
But there are other
options as well, investors today have
options of actively managed funds,
currency - hedged funds, low volatility funds,
dividend funds and even factor based emerging market funds.
To be treated as a regulated investment company under Subchapter M of the Code, a Fund must also (a) derive at least 90 % of its gross income from
dividends, interest, payments with respect to securities loans, net income from certain publicly traded partnerships and gains from the sale or other disposition of securities or foreign
currencies, or other income (including, but not limited to, gains from
options, futures or forward contracts) derived with respect to the business of investing in such securities or
currencies, and (b) diversify its holdings so that, at the end of each fiscal quarter, (i) at least 50 % of the market value of a Fund's assets is represented by cash, U.S. government