No. of Recommendations: 5
We've discussed equal weight recently so there might be some interest in this. Ben Felix is a well-known investment personality, podcaster, youtuber, and manager. Not a Boglehead, but Boglehead adjacent, I'd say. He's Canadian, so he has that going for him.
Anyway, here's his 15-minute take on equal weighting:
The Problem with Equal Weight Index Funds
Equal weighting seems like the solution to many of the perceived problems that market capitalization weighted indexes have today, like high valuations and high levels of concentration in the top stocks. Equal weighting has actually outperformed cap weighting going back decades, but it introduces its own unique risks, costs and inefficiencies.https://youtu.be/xu7kMpLbJJs?si=q5pGZ--sIVKhiWJ8Tl;dw - Ben thinks equal weighting is an inefficient way of getting at smaller/cheaper stocks.
