The RAFI Fundamental Indices use the Research Affiliates Fundamental Index™ methodology, which weights companies based on fundamental measures of company size (as measured by accounting variables) rather than their market capitalization
Traditional passive investment vehicles are market-capitalization weighted, which means that as the price of a security increases, so does its weight in your portfolio. This results in overweights to the most overvalued companies and underweights to the most undervalued companies.
RAFI Fundamental Index is a non-price-weighted index strategy that aims to deliver excess return versus the cap-weighted benchmark by using fundamental measures of company size to systematically rebalance against the market’s constantly shifting expectations.
Key Features and Coverage on RIMES
For this data source, RIMES hosts approximately 1800 companies and one index (RAFI Fundamental Emerging Markets Index).
Some of the data items available include:
- Hours Currency Base Date, Index Name, Launch Date, Market, Net Return, Price Return, Ticker, Total Return, etc.