A WEE DRAM
CHRIS GILMOUR: When little effort pays off
Results show that passive, or evidence-based, investment beats active management
Index investing, specifically exchange traded funds (ETFs), started gathering pace in SA about 15 years ago, with ETF industry professionals such as Mike Brown, Nerina Visser and Roland Rousseau passionate about tracker funds and why they are so much more effective than expensive active fund managers.
This passive approach to investing is now associated with the latest buzzword in financial markets, being “evidence-based investing” (EBI).