Active vs. Index Investing
Fran discusses the importance of patience and understanding in active management, suggesting that if committees lack these qualities, they might be better off in index funds. He highlights the remarkable growth of indexing over the past two decades, noting that while it now represents over 50% of mutual fund assets, its influence on market pricing is often misunderstood. Indexing serves as a reflection of active strategies rather than a determinant of market prices.In this clip
From this podcast
Capital Allocators – Inside the Institutional Investment Industry
Fran Kinniry – The Comfort of Paradox at Vanguard Group (Capital Allocators, EP.173)
Related Questions