It is human nature to take sides. In the case of active and passive, however, not only do I think investors can choose both, but the story of passive’s rise and active’s demise has been greatly exaggerated.
It is true that flows into passive strategies have picked up. But U.S. advisers are still allocating 70% of their clients’ assets to active investment strategies, according to our recent survey. Investment flows can be fickle and aren’t always a good barometer for long-term shifts in sentiment.…