Global Passive Equity Funds Set to Overtake Active Funds

  • Fund industry about to pass a symbolic milestone, SocGen says
  • Passive credit funds are also seeing cumulative net inflows
Source: Societe GeneraleSource: Bloomberg
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Passively managed equity funds are on the cusp of marking a milestone that’s been more than a decade in the making: Globally, net assets in such products are about to exceed those of their actively managed counterparts, according to Societe Generale.

The “fund industry is about to pass a symbolic milestone,” potentially in March or April, based on monthly data from EPFR Global, wrote a SocGen team led by Arthur Van Slooten.