Do they offer guidance to you as a retail investor in choosing between passive funds and actively managed funds? Do they state some investment beliefs?

EBC2054 Investment Analysis and Portfolio Management

Mutual Funds Case B – Active versus Passive Fund Management

The assignment

Check the websites of several mutual fund families and try to answer the following questions:

• Do they offer guidance to you as a retail investor in choosing between passive funds and actively managed funds?
• Do they state some investment beliefs?
• Do they favor active management over passive management?
• Does the opinion differ for the different asset classes?

As an alternative to mutual funds you may also look at pension funds, insurance companies, and/or large wealth management firms. Search their websites for brochures or statements on their investment beliefs.

Of course, you may also talk to investment managers if possible.

Collect at least 6 opinions from different sources. Finally provide your own opinion on this issue.