Passive investing broadly refers to a buy-and-hold portfolio strategy for long-term investment horizons, with minimal trading in the market. Index investing is perhaps the most common form of passive investing, whereby investors seek to replicate and hold a broad market index or indices.

2 Natixis Investment Managers Global Survey of Financial Professionals conducted by CoreData Research in March 2018. Survey included 2,775 financial professionals in 16 countries, 300 of whom are in the US.
3 Natixis Investment Managers Global Survey of Individual Investors conducted by CoreData Research in February-March 2017. Survey included 8,300 investors in 26 countries.
4 An index fund is a type of mutual fund with a portfolio constructed to match or track the components of a financial market index.
5 Natixis Investment Managers Global Survey of Individual Investors conducted by CoreData Research in August-September 2018. Survey included 9,100 investors in 25 countries.
6 Unlike passive investments, there are no indexes that an active investment attempts to track or replicate. Thus, the ability of an active investment to achieve its objectives will depend on the effectiveness of the investment manager.
7 Alternative investments involve unique risks that may be different from those associated with traditional investments, including illiquidity and the potential for amplified losses or gains. Investors should fully understand the risks associated with any investment prior to investing.

The views and opinions expressed may change based on market and other conditions. This material is provided for informational purposes only and should not be construed as investment advice. There can be no assurance that developments will transpire as forecasted. Actual results may vary.

All investing involves risk, including the risk of loss. No investment strategy or risk management technique can guarantee return or eliminate risk in all market environments.

The data shown represents the opinion of those surveyed, and may change based on market and other conditions. It should not be construed as investment advice.

The MSCI World All Cap Index captures large, mid, small and micro-cap representation across 23 Developed Markets (DM) countries. With 11,910 constituents, the index is comprehensive, covering approximately 99% of the free float-adjusted market capitalization in each country. S&P 500® Index is a widely recognized measure of U.S. stock market performance. It is an unmanaged index of 500 common stocks chosen for market size, liquidity, and industry group representation, among other factors. It also measures the performance of the large-cap segment of the U.S. equities market. The MSCI EAFE Index (Net) is a free float-adjusted market capitalization index designed to measure large and mid-cap equity performance in developed markets, excluding the U.S. and Canada. The Index includes countries in Europe, Australasia, and the Far East. The FTSE 100 Index is one of the world’s most recognized indices and accounts for 7.8% of the world’s equity market capitalization. It represents the performance of the 100 largest blue chip companies listed on the London Stock Exchange, which meet the FTSE’s size and liquidity screening. The index represents approximately 85.2% of the UK’s market and is currently used as the basis for a wealth of financial products available on the London Stock Exchange, National Stock Exchange of India and others institutions globally. Japan's Nikkei 225 Stock Average is the leading and most-respected index of Japanese stocks. It is a price-weighted index composed of Japan's top 225 blue-chip companies on the Tokyo Stock Exchange. The Nikkei is equivalent to the Dow Jones Industrial Average Index in the U.S. In fact, it was called the Nikkei Dow Jones Stock Average from 1975 to 1985. The S&P Latin America 40 includes 40 leading, blue-chip companies that capture approximately 70% of the region's total market capitalization. Constituents are drawn from five major Latin American markets: Brazil, Chile, Colombia, Mexico and Peru.

You cannot invest directly in an index. Indexes are not investments, do not incur fees and expenses and are not professionally managed.

This document may contain references to copyrights, indexes and trademarks that may not be registered in all jurisdictions. Third party registrations are the property of their respective owners and are not affiliated with Natixis Investment Managers or any of its related or affiliated companies (collectively “Natixis”). Such third party owners do not sponsor, endorse or participate in the provision of any Natixis services, funds or other financial products. ​​​

The index information contained herein is derived from third parties and is provided on an “as is” basis. The user of this information assumes the entire risk of use of this information. Each of the third party entities involved in compiling, computing or creating index information disclaims all warranties (including, without limitation, any warranties of originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to such information.

Diversification does not guarantee a profit or protect against a loss.

Natixis Distribution, L.P. is a limited purpose broker-dealer and the distributor of various registered investment companies for which advisory services are provided by affiliates of Natixis Investment Managers.


Related Articles

Why Everyone’s Talking About… Market Bubbles

Market bubbles are typically driven by unrealistic valuations and speculative activity. The question of whether we’re in bubble territory in 2024 hinges on the link between AI and the dominance of the Magnificent Seven.

April 12, 2024
Mirova B(ey)ond Green - Sustainable bond investments: What's new?

After a slowdown in 2022, green bonds are expanding again, whilst SLBs are down 25%.

April 11, 2024
Mirova B(ey)ond Green - How can the emergence of ‘transition finance’ boost the market for labelled bonds?

Mirova believes that the development of green bonds issued by companies operating in sectors that are difficult to decarbonise offers an excellent opportunity to boost the labelled debt market and deliver on the promise of sustainable economic transformation.

April 11, 2024
Mirova B(ey)ond Green - Chemistry, the ugly duckling of ESG...shunned by markets in 2023

The chemical industry is one of the sectors most dependent on fossil inputs, which account for fully a third of the industrial sector's CO2 emissions.

April 11, 2024