(When investing, your capital is at risk) Active ETFs are riding high and the numbers speak for themselves: 72% of fee revenue from net ETF flows this year has come from actively managed funds.
After years of passive strategies dominating, it seems like investors are warming up to active management — particularly in the ETF space.
Why the shift? It’s not just about returns; it’s about the unique strategies active ETFs can offer, from crypto exposure to options-based plays like covered call strategies. Ultimately, investors seem willing to pay a little more if it means the potential for outperformance and tactical flexibility.
Read Steve Johnson’s full article in the FT here: Active ETFs triumph over passives in fees from new flows
What’s your take? Are active ETFs worth the higher fees for more hands-on management, or do passive index funds still reign supreme in your portfolio?