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Almost all investors are familiar with the concept of active management and understand the concept of trying to pick the right stock at the right time in order to benefit from its price appreciation. Opposed to this approach is the concept of passive, or index management, which simply tries to replicate the return of ‘the market’ at minimal cost to an investor. In both cases a return will be generated that will be either lower than the overall market (the index fund due to fees or the active man