The findings, published in the firm’s Smart Beta survey, show that out of the 120 Australian advisers it questioned, 90% said they would invest in smart beta, with 37% of advisers currently using the product.
Around 89% believed smart beta strategies will outperform or perform in line with active strategies.
More than half (54%) of the advisers questioned were from independent financial firms.
However, almost two thirds of respondents cited not knowing enough about smart beta strategies as a reason for not investing.
Advisers listed outperformance, ease of trading and diversification as the reasons for using smart beta.
“Smart beta is the fastest growing segment of the asset management industry,” Arian Neiron, managing director of VanEck Australia.
“Today there are a number of different smart beta strategies which total in excess of $2.1bn in assets, confirming the incredible growth of smart beta investing in Australia."
It comes as data from research and consultancy firm ETFGI shows that assets invested in smart beta Exchange Traded Products (ETPs) listed globally hit a record $429bn (£330bn, €387bn) at the end of June.
Meanwhile, ETF provider WisdomTree found that 40% of total flows into European Exchange Traded Funds (ETF) have gone into smart beta products.