PT  - JOURNAL ARTICLE
AU  - David Nanigian
TI  - The Historical Record on Active versus Passive Mutual Fund Performance
AID  - 10.3905/joi.2021.1.212
DP  - 2021 Dec 02
TA  - The Journal of Investing
PG  - joi.2021.1.212
4099  - https://pm-research.com/content/early/2021/12/02/joi.2021.1.212.short
4100  - https://pm-research.com/content/early/2021/12/02/joi.2021.1.212.full
AB  - This study examines the risk-adjusted performance of actively managed mutual funds versus passively managed mutual funds between 1991 and 2019 and finds that there is no statistically significant difference in performance between the two types of funds when the passively managed funds are compared to competitively priced actively managed funds. The practical implication of this study is that, setting tax considerations aside, as long as investors are cost-conscious in their fund selection process, investing in passively managed funds does not meaningfully improve investor outcomes.