M&G's Willcocks - It's active 'and' passive, not 'versus'

Value for money, not price, should be investors’ greater focus

clock • 9 min read

M&G global head of retail sales Jonathan Willcocks discusses the different but complementary roles he believes active and passive funds will play in investment portfolios in the years ahead

What do you see as the best argument for active investing over passive? The narrative on passive investing has really gathered momentum over the last few years but some of the empirical evidence I see quoted perhaps slightly misses the point. That is because most of the data primarily focuses on the numbers of funds within a given sector and not the weighted assets. By default, the average active fund should underperform its benchmark by the fee it charges - and, by extension, it should underperform passive funds, which have lower charges. But the reality is that the money invested in...

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

NextWealth MD Hopkins on staying ahead of advice sector changes, data challenges and flattening MPS fees

NextWealth MD Hopkins on staying ahead of advice sector changes, data challenges and flattening MPS fees

Making technology work better

Katrina Lloyd
clock 03 July 2025 • 9 min read
IFAs look to boost clients' private markets exposure

IFAs look to boost clients' private markets exposure

Expect increase in stock market volatility

Jen Frost
clock 02 July 2025 • 2 min read
Winds of change: Private markets access for retail investors

Winds of change: Private markets access for retail investors

Investing in LTAFs, accessibility aside, needs careful consideration

Dorian Hughes
clock 02 July 2025 • 5 min read