Financial intermediaries may be moving money from active to passive funds, but the trend could potentially slow down next year. The net new asset mix among various intermediaries for the third quarter of this year was 48% active, 41% passive and 10% in alternative fund strategies, according to research from Credit Suisse. This mix represented roughly the same breakdown from the previous quarter, with Credit Suisse concluding that unless there's an uptick in net new assets shifting to passive in 2018, the trend of fund flows to passive funds could slow down in the next six months.
Financial intermediaries may be moving money from active to passive funds, but the trend could potentially slow down next year. The net new asset mix among various intermediaries for the third quarter of this year was 48% active, 41% passive and 10% in alternative fund strategies, according to research from Credit Suisse. This mix represented roughly the same breakdown from the previous quarter, with Credit Suisse concluding that unless there's an uptick in net new assets shifting to passive in the next six months, the trend of fund flows to passive funds could slow down in 2018.