Active Managers Versus Passive Products: How to win the debate...
Author: Esther Mezey and Rob Stubbs
The widespread availability of passive products have investors asking: Why pay for active management if I can potentially do just as well with a passive product? Active managers must respond, demonstrating the value of their products and substantiating that value by demonstrating consistent and repeatable investment skill. Performance attribution is a natural starting point for assessing the value of an investment product.