Under the bonnet: The nuances of passive equity fund selection

'The passive equities asset class has been growing rapidly'

clock • 4 min read

Caroline Mills considers the key nuances within passive management that can make a notable difference in performance over the long term...

When creating a robust multi-manager solution, much effort is usually undertaken to establish preferred active managers, while passive funds have historically received less attention from a manager selection perspective. Despite this, the passive equities asset class has been growing rapidly. Over the last 10 years, according to eVestment, passive equity assets under management has grown by 3.75x in comparison to 1.9x for active equity management.     Source: eVestment. Data: Long-Only Equity Passive Index Funds (including all market cap and geographic regions). Currency: GBP...

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 Equities

Partner Insight: Have banking stocks been flying under the radar?

Partner Insight: Have banking stocks been flying under the radar?

Orbis Investments
clock 17 May 2024 • 3 min read
Partner Insight: Are equities really overvalued?

Partner Insight: Are equities really overvalued?

Value dispersion means there are plenty of cheap opportunities

Gareth Jones
clock 09 February 2024 • 1 min read
Partner Insight: How much value is there in UK equities?

Partner Insight: How much value is there in UK equities?

‘As different as they are attractive’

The UK Equities Team at Invesco
clock 07 February 2024 • 1 min read