"Passive Investing Pays Off---Again." This is a headline in the March issue of Consumer Reports Money Adviser.
From the first paragraph:
These are difficult times for active fund managers. Despite a 16 percent return for stocks in 2012, three of every five active fund managers were unable to keep up with the market for the third consecutive year. -- Vanguard, the godfather of low-cost passive fund investing, recently thanked investors for pushing it above $2 trillion in assets.
From the last paragraph:
If you're an index investor, some smugness might be warrented. But if you hold actively managed funds, now might be a good time to look at their expense ratios and performance to see if they're worth the cost. If not, you're probably better off moving your money to comparable low-cost ETF's or index funds.