An index fund for every day of the week

clock •

Simon Ellis, managing director of Legal & General Investments, explains why index funds should not be viewed as the poorer relation of their active cousins and why investors are no longer using them to just tap into developed market growth.

Index funds have traditionally been seen as a useful and low-cost means of accessing growth in developed equity markets, the view being that these markets are relatively efficient and therefore more challenging for fund managers to outperform; to this day the majority of index funds in the UK track either the FTSE100 or FTSE-All Share Indices. But things are changing fast. Investors have had a turbulent time over the past few years in almost all markets. The lack of clarity in market direction and accompanying high levels of volatility have left them questioning the value they are get...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Fifty years after 'Bogle's Folly', what comes next for financial advice?

Fifty years after 'Bogle's Folly', what comes next for financial advice?

'Indexing will continue to grow, but the wrapper through which investors access it will change'

Gillian Hepburn
clock 12 October 2026 • 4 min read
Chris Justham: Why the industry must 'entertain and engage' investors

Chris Justham: Why the industry must 'entertain and engage' investors

‘We can’t just offer them a dry cracker and ask them to chew it down’

Chris Justham
clock 07 October 2026 • 3 min read
Jupiter Merlin makes 'keystone' changes and cuts charges on Select range to attract advisers

Jupiter Merlin makes 'keystone' changes and cuts charges on Select range to attract advisers

Two new funds launched

Michael Nelson
clock 06 October 2026 • 6 min read