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Active vs passive: How investors can choose the right fund strategy

4 days ago 3

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Active and passive funds offer different advantages across market-cap segments, making a mix of both a sensible portfolio strategy

Nifty, Sensex, stock market, Nifty Midcap 100, Nifty Smallcap 100, IPOs, foreign portfolio investors, FPI flows, closing auction session, CAS, primary market, August market performance

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Inflows lifted the entire segment, benefiting indices like the Nifty Midcap 150 (Representative Image)

Himali Patel Mumbai

3 min read

Last Updated :

Oct 05 2026 | 11:27 PM

IST

A recent Morningstar India report titled Active/Passive Barometer India shows why investors should look beyond recent numbers when choosing between active and passive mutual funds. Active funds’ success rates varied sharply across market segments and periods. The success rate measures the share of active funds that beat their passive peers. 

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