Should you invest actively or passively? Here’s the right approach for you

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One of the classic debates in investing is whether it makes sense to invest passively to track major markets or to invest actively to try to outperform those markets.

It should be clear by now that the bulk of evidence from academic and other studies favours passive investing. In a nutshell, the large mainstream markets are hard to “beat” on returns, so you can generally expect to earn more by using low-fee broad-based passive ETFs to track market returns at low cost.

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