> A report this past week from investment firm Sanford C. Bernstein, titled “The Silent Road to Serfdom: Why Passive Investing Is Worse than Marxism,” warned that index funds might grow to the point at which new investments could be massively mispriced.
In which case the actively managed funds which identify the mispriced assets would start making money and attract investors again. You know there's trouble brewing in the industry when mutual funds are trying to sell investors on "it's good for the economy!"
In which case the actively managed funds which identify the mispriced assets would start making money and attract investors again. You know there's trouble brewing in the industry when mutual funds are trying to sell investors on "it's good for the economy!"