A small but growing number of fund managers are finding that patenting an index strategy can have strategic and marketing advantages.

WisdomTree and Research Affiliates are the only two fund companies that have thus far successfully patented index strategies, but other ETF players are now focused on protecting their platforms. Todd Rosenbluth, director of ETF & Mutual Fund Research at S& P Capital IQ, says ETF players like WisdomTree have gone the patent route for their index strategies not just for marketing to advisors and investors, but also as a preemptive strike against competitors who may try to jump in.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.