The debate between passive and active allocation continues
The ancient rite of pitching hands-on stock selection and passive index investing against each other is about more than simply which provides the best risk-adjusted returns over time. As such, we've assembled some of the more illuminating and exciting research on this topic.
When investors design a benchmarked portfolio, every design choice that takes them away from the benchmark has a consequence when measuring fund performance.
Watch a presentation on the impact passive investing has had on markets, such as increasing correlations between securities and reducing the ability for companies to go public.
The S&P 500 top 10 is dominated by tech-based growth stocks, leading many to see the index as a proxy growth fund. Does this thesis hold up to closer examination?
Successful active investment relies on making accurate predictions, whereas passive management requires no such thing. How accurate must these predictions be?
For compliance reasons, this paper is only accessible in certain geographies
Climate transition strategies involve challenging implementation questions, with the question of which index should be used being among the most important.
Investors are increasingly turning to real estate investment trusts to optimise and enhance exposures in real estate, one of the cornerstones of a real asset allocation.
The answer is that it does matter. Arguably, a fund manager’s salary, bonus and career should be dependent on the success of their fund.
This paper contrasts the return of Vanguard and Fidelity active stock mutual funds with the style-mimicking portfolio of Vanguard’s index funds.
How can index providers better align benchmarks with the push for a net zero standing? More than 30 investors share their findings in this report.