The True Cost of Indexing
Anyone in the investment industry not living under a rock has had an intense conversation with a client about the merits of passive exposures in investment portfolios. The cacophony of articles on this topic is both silent and deafening. Most include little proof for assertions of market efficiency and parrot a conglomeration of statements parsed from other articles. As a result, passive investors improperly forego dramatically higher potential returns for seemingly low cost market exposure.
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