Terminal capacity refers to the point where transaction costs eliminate alpha.

Capitalization-weighted indexes give larger companies greater influence.

Alternative data may include satellite or credit card data.

Enhanced indexing strategies ignore risk control.

Smart beta strategies are rule-based approaches.

Stock splits and mergers can affect index weights.

In quantitative investing, position sizes are often determined by optimization models.

Factor indexes attempt to capture drivers of return such as momentum and value.

Tracking error measures the difference between portfolio performance and benchmark performance.

Even a fully replicated index portfolio can experience tracking error.