Mutual funds: Confused between active and passive funds? Here is your answer
Mutual funds: Actively managed funds aim to outperform their benchmark index, while passive funds seek to replicate the performance of a specific index
Making an investment choice can sometimes be a tricky task for investors. There is a plethora of investment options available in the market which further confuses the investors. When it comes to investing in mutual funds, people get confused as to whether they invest in an active or a passive fund. Proponents of both active and passive will have their arguments to attract investors, but experts suggest having an allocation in both funds.