Wall Street’s ETF Screening Secrets Revealed: Beyond Expense Ratios and Short-Term Performance
The ETF market has become a labyrinth of choices, with thousands of funds tracking everything from broad indices to niche themes like AI and blockchain. Retail investors often fixate on low expense ratios and recent performance, but these metrics fall short in identifying truly exceptional funds.
Institutional analysts focus instead on operational efficiency, structural stability, and strategic alignment—factors that dictate long-term success. The real cost of owning an ETF extends far beyond its stated fee, encompassing hidden trading friction and liquidity dynamics. Superior funds emerge from this nuanced analysis, not from superficial screening.