Philip Bailey: seeking a cost-efficient ETF future

Why did you move out of active management into the passive arena? Market conditions have become more volatile in recent years and it is increasingly difficult to generate returns greater than the market. There are very few people who can consistently outperform the market, but the level of charges levied on a client’s portfolio is rising consistently. I did not feel that it was tenable to carry on charging those fees when I could not guarantee to outperform the market. I thought it made more sense to focus on getting a client’s asset allocation decision right and mix the assets in their por...