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Active or Passive Investing?

The Meaningful Money Personal Finance Podcast

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How to Invest in the FTSE 100

You've made active decisions as to those you wish to buy. You have actively chosen which of the available shares to buy in the hope that you bought the best ones, or at least a subset of shares that will do well for you. The opposite of that is what happens if you bought the shares in all 100 companies in the FTSE 100. It'll save you all that research time sitting down in front of your computer and then maintaining that portfolio once you've done it. There's no choosing going on here. You're buying a job lot. And so this makes you a passive investor buying a whole market or indices rather than making choices about individual holdings. Sounds a lot easier.

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