The trend of index or “passive” investing accelerated, following the financial crisis and seems to now represent a generational shift in the way investors approach the stock market. Namely, they don’t necessarily trust it or those that dispense advice, but they acknowledge that stocks are still one of the best ways to build wealth.
So, while “passive” is all the rage one astute reader, Pete, noted, “Steve, isn’t the fact that one chooses to invest in stocks, no matter what the vehicle, by definition makes him an active investor… “
This is a great insight and allows us to continue my prior take on passive/aggressive investing. Let’s go the next step and lay out five steps how one can be “actively passive to generate Alpha”
We need to start with the premise that…
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