Active vs. Passive Debate Spills Into ETFs By Tom Lydon
Actively Managed ETFs News: The debate over active management versus passive management remains, but in the end does it really matter? Both styles compliment exchange traded fund investing and when used together — they can both enhance a portfolio. “While some trace their history to as early as 2000, most were launched in just the last five years. Looking at the market size, the Morningstar managed ETF database puts total …
Investing inactive funds: What’s the point? By Natsuko Waki
Ă‚Â March 19, 2012 Active vs passive investment is a long-lasting debate: active funds will tell you they deliver alpha (extra returns), but for a fee. Passive investment simply tracks the index so it’s cheaper. TheĂ‚Â riskĂ‚Â isĂ‚Â you may under-perform yourĂ‚Â peers. New research from Thomson Reuters Lipper throws upĂ‚Â an interesting twist in the debate: It found thatĂ‚Â less than half of theĂ‚Â actively managed mutual funds in Europe outperformed their benchmarksĂ‚Â over the past 20 years. …
ETF-Based Strategies Grew 43% as Investors Avoid Active Funds By Christopher Condon
Ă‚Â Jan. 23 (Bloomberg) — Money overseen by U.S. investment managers who buy exchange-traded funds instead of individual stocks and bonds rose by 43 percent in the last year, even faster than the growth for ETFs, according to a report from Morningstar Inc. The 370 ETF-based investment strategies tracked by Morningstar grew to $27 billion in the year ended Sept. 30, the Chicago-based research firm said today. That outpaced the …