Passive Over Active Funds

Passive Over Active Funds History suggests that investor outflows from active funds are smallest after periods of high policy uncertainty. Image: Goldman Sachs Global Investment Research

Active Global Equity Fund Flows and % MSCI ACWI Members Trading Above 200-DMA

Active Global Equity Fund Flows and % MSCI ACWI Members Trading Above 200-DMA Flows to active global equity funds correlate strongly with stock price dispersion. Higher dispersion creates more opportunities for active managers, especially in volatile markets, boosting investor interest and inflows. Image: BofA Global Investment Strategy

Active vs. Passive Fund Flows

Active vs. Passive Fund Flows While active equity funds have struggled, passive equity flows have proven resilient, continuing to show positive trends despite market fluctuations. Image: Goldman Sachs Global Investment Research

Flows by Year into Active vs. Passive Funds

Flows by Year into Active vs. Passive Funds Passive funds are growing in popularity as investors prioritize lower fees, potential tax advantages, and doubt active fund managers’ ability to consistently outperform the market. As a result, active funds are facing capital outflows. Image: BofA US Equity & Quant Strategy