This Whitepaper discusses and compares active investment management versus passive management. The perennial argument of whether active managers can outperform the index usually reappears towards the top of investment cycles. This is a result of active managers underperforming their relevant benchmarks when markets are driven by momentum and also the fear of missing out on a rising market. We are once again at this juncture after the recent poor relative performance of the average active fund manager over their relevant index.
Read Providence’s Whitepaper – The Rise of Passive Investing: Fee Saving or Increasing Risk?