It’s the million-dollar question that has dominated the industry in recent years – are investors better off in active or passively managed funds?
Those in the passive camp argue that no manager can consistently outperform the market.
If you invest your money for long enough, you’ll see gains, so there’s no point in paying the higher fees for active management – especially when those funds often underperform the market.
Active proponents, on the other hand, argue that it is possible for active managers to add value through stock selection, bottom-up fundamentals and macro analysis.
Particularly important is that active managers can position their portfolios to dampen losses when markets do inevitably fall.
We’ve dived into the debate in this month’s issue of Investazine, exploring the pros and cons of both sides in more detail and suggesting how investors can benefit from both approaches.
We reveal the cheapest active funds on the market, examine whether index trackers or ETFs are right for you and even reveal when underperformance is a good thing.
To read these articles and more, download your FREE issue of Investazine here.
The active vs passive debate: Which side of the fence are you on?
17 September 2014
The September issue of Investazine is on newsstands now. Download your free copy today.
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