FYI: Are you good enough at picking stocks to beat the market? Not too many people would claim that. Is your asset manager good enough? The $10 trillion invested in active-management funds is a bet that the answer is yes. But more and more people are saying no. So is the world’s largest asset manager, BlackRock Inc., which is paring back its active-equities group. BlackRock is responding to a surge of money into what’s known as passive investing. It’s an approach endorsed by legendary investor Warren Buffett, who thinks the smartest thing your money can do is climb into a hammock and take the rest of the day off. The active vs. passive debate is upending the investment industry.
Regards,
Ted
https://www.bloomberg.com/quicktake/active-vs-passive-investing
