Active versus passive investing: Yahoo U

Active versus passive investing: Yahoo U

For more business and finance explainers, check out our Yahoo U page.

Among the many debates in investing: whether or not active investing is an efficient way of beating the market.

On one hand, the growing popularity of retail trading platforms like Robinhood have fueled interest in stock picking. But on the other hand, exchange-traded funds (ETFs) have made it easier for investors to passively purchase baskets of stocks.

So which one works better?

First: the difference between active and…


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