FYI: Active investors have found an unlikely ally: passive funds.
That’s according to Chris Harvey, head of equity strategy at Wells Fargo, who says there are signs fundamental active managers are learning to coexist with the enemy by doing as they do: holding on at all costs. “The buy-side is quickly adapting to -- and in some cases seems to be arb-ing -- these passive flows,” he wrote in a note first published Sunday. “From an odd angle, it looks like passive is actually helping active.”
Regards,
Ted
https://www.bloomberg.com/news/articles/2017-10-30/lesson-learned-in-trenches-of-a-passive-stock-market-don-t-sell
