Hoshang Daroga: Smart investment thinking

The so-called active versus passive debate seems everlasting, with industry pundits battling it out tooth and nail - and yet can passive investing ever be said to be totally passive? After all, before we even think about deciding between using ETFs or actively managed funds, we make a very important decision about where to invest the money - in stocks, in bonds, in commodities and so forth. There is no shortage of research that suggests this asset allocation decision is a primary driver of returns in any portfolio. Even the decision not to invest money and hold it in cash is an ‘active' ...