Why we believe NOW is the time for active equities

When does active management play a role in equity portfolios, if at all? We think now could be the right time.

As we all hunker down to our new normal, with the hope that by doing so we can protect others from the invisible onslaught of the coronavirus (COVID-19), those of us in the investment industry are working hard to help ensure we keep client portfolios as healthy as possible against a backdrop of indiscriminate selling driven by sentiment rather than fundamentals. This quest has led us to revisit the aged old debate of active and passive management. Over the past decade or so, roaring equity markets seem to have challenged active management to its very core.