- The fees charged last year for actively managed mutual funds averaged 0.92%, which was seven times higher than the average fees of 0.13% for passively managed index mutual funds in 2012.
- Empirical evidence shows that passively managed index funds outperform almost all actively managed funds over long holding periods, adjusted for risk, taxes and expenses.
- And yet there was almost nine times more money invested in actively managed mutual funds at the end of 2012 ($11.74 trillion) than in passively managed index funds ($1.31 trillion).
Source: The Investment Company Institute’s 2013 Investment Company Fact Book (53rd edition).
Post a Comment