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Morningstar’s Guide to Passive Investing

Over the last few decades, passive funds have seen a remarkable increase in popularity. In the seemingly never-ending debate about the efficacy of active vs passive investing, passive funds have benefited from a volatile market environment that has led to a steady shift away from actively managed funds.


As investor preferences shift, there has been a surge in demand for more sophisticated investment strategies. This guide provides an overview of the passive investing landscape, outlining several factors that have driven flows into passive funds while highlighting how Morningstar’s long history of independent research and ratings can help investors make more informed decisions in the growing passive investing space. 


In this Guide, you’ll learn more about:

  • The benefits and limitations of passive strategies 
  • The passive funds landscape and why investors are increasingly choosing passive investing 

  • Dynamic investment strategies that combine aspects of both active and passive investing 
  • How firms can leverage Morningstar’s independent research and ratings to develop first-class strategies