Broker Check

Active vs. Passive: Which Wins?

| October 29, 2013

Active vs. Passive Investing: Which Wins? . . . . Financial Planning (

My Comment

Multiple research studies have shown the difficulty of “active” investments outperforming “passive,” including the one linked above. However, just because you’ve correctly figured out that passive (not precisely, but similar to indexing) is the way to go for you, the job is not yet finished. Which passive funds? How much of each? Answer, of course, depends on your specific situation – age – time until retirement (or already retired) – other resources – risk tolerance – etc. And, as a Certified Financial PlannerTM (CFP® ) Professional, it is my professional opinion that a great number of investors are better served by (1) Having a written Financial Plan . . . (2) Updated periodically to match your current circumstances . . . (3) By a Financial Professional.

Investments in securities do not offer a fixed rate of return. Principal, yield and / or share price will fluctuate with changes in market conditions and, when sold or redeemed, you may receive more or less than originally invested. The views are those of Bruce Mazo and should not be construed as investment advice. All information is believed to be from reliable sources; however, we do not make any representation as to its completeness or accuracy. Investors cannot directly invest in indices. Past performance does not guarantee future results.