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Asset Management

Investors snub money managers for market clones

Passively managed US funds attracted $413.8 billion last year, highlighting shift in investors’ taste

More investors are losing faith in old-school money managers as financial markets sputter.

Clients yanked $207.3 billion in 2015 from US-based mutual funds that hand pick their positions while pouring $413.8 billion into funds that mimic broad indexes for a fraction of the cost, according to new data from research firm Morningstar.

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