Top Picks for Opportunistic Portfolios
By making good use of their flexible approaches, these funds demonstrate that active management can work.
Investors have been demonstrating a strong preference for passively managed products, according to Morningstar's most recent asset-flows data. Meanwhile, $15 billion in assets have come out of actively managed funds so far in 2013, on top of $132 billion in outflows from active products in 2012.
There's a lot to like about that trend. New dollars flowing into passive products have, to a great extent, gone into broadly diversified, ultra-low-cost products. Given that the average active manager doesn't beat his benchmark over time, it's hard to quibble with investors opting for passive products that can help them, in Vanguard founder Jack Bogle's words, earn their fair share of the market's return.
Christine Benz does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.