Iattended an asset manager presentation a few months ago where a fellow f inancial adviser wanted to know from the manager why they were not doing more in the media to promote active management over passive management. He noted that every time he read a financial publication or website, there was an article about how passive management was better than active management, and that he was getting an increasing number of queries about passive management from clients.
I found it interesting that this particular adviser felt that it was his responsibility to defend active management. He seemed a bit irked with me when I later mentioned to him over snacks that we were using active ve and passive strategies in client portfolios. Our view w is that both strategies have something of value to offer fer clients and therefore we should be using both. We see active managers as offering ffering better risk management gement possibilities as well as t he prospect ct of higher-thannmarket returns ns over time while e passive management offers f antastic cost t mitigation possibilities. Our clients need all l