This article was originally published in the March 2017 issue of Morningstar FundInvestor. Download a complimentary copy of FundInvestor here.
When investment managers begin laying off employees, investors should beware. That's especially true when investment team members are let go. Layoffs have recently surged among active managers, as investors continue to shift assets to passive funds. In 2016, a record $340 billion poured out of active funds, while passive funds gained $505 billion.
To view this article, become a Morningstar Basic member.
Leo Acheson does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.