The evergreen active versus passive debate is gaining steam. A lot of fund houses have launched index funds and exchange-traded funds (ETFs) in 2021 in large cap, midcap, smallcap and in the sectoral category. However, the question remains, are passive funds better than actively managed funds? There is tremendous growth in the investments of passive funds focusing on Sensex and Nifty index. One, they are economical with a low expense ratio and secondly they have been successful in giving returns too. If you also want to invest in passive funds, then know from Pankaj Mathpal of Optima Money Managers at Money 9 Helpline what are the things you should consider while choosing a passive fund?
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