PowerShares FTSE RAFI US 1500 Small-Mid (NASDAQ:PRFZ)
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excellent methodology:
Description: The Index is designed to track the performance of small and medium-sized U.S. companies. Companies are selected based on the following four fundamental measures of size: book value, cash flow, sales and dividends. Each of the equities with a fundamental weight ranking of 1,001 to 2,500 is then selected and assigned a weight equal to its fundamental weight.
Though it could be improved by cutting costs with random sampling and extending down to smaller companies than the 2,500th.
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