While earnings usually come in substantially ahead of expectations — as much as 4 or 5 percentage points is not unusual — the downward direction in the outlook doesn't speak...Earningsread more
"We do not seek conflict with Iran or any other country," Trump tells reporters in the Oval Office.Politicsread more
Shopify debuts a new network to help it compete with Amazon.Marketsread more
"We missed being the dominant mobile operating system by a very tiny amount. We were distracted during our antitrust trial. We didn't assign the best people to do the work,"...Technologyread more
Sen. Bernie Sanders announced a plan Monday to forgive the country's $1.6 trillion outstanding student loan tab, intensifying the higher education policy debate in the 2020...Personal Financeread more
The strong dollar story could be over for now, and that's putting a shine on the 'anti-dollar' trade—gold.Market Insiderread more
"I believe it would be wise to take additional time and allow events to unfold" before deciding on rates, the Dallas Fed official said in an essay.The Fedread more
Stocks with this one feature are poised to crush the market after a rate cut, according to Goldman Sachs.Marketsread more
An Air Canada passenger traveling to Toronto from a weekend in Quebec City found herself stranded alone on the tarmac and in the dark, in what she described as a "nightmare."Airlinesread more
The new cut will likely draw thousands back to theaters and could finally push "Avengers: Endgame" above and beyond the record $2.78 billion "Avatar" has earned since its...Entertainmentread more
President Donald Trump and Chinese President Xi Jinping are expected to meet at this week's G-20 summit in Japan and the stakes for Wall Street are high.Marketsread more
Last month was one for the Wall Street history books — not only was it stocks' worst December since the Great Depression, but it now appears to be a pivotal moment when investors really gave up on active management.
According to data from Morningstar out Thursday, actively managed mutual funds experienced outflows of nearly $143 billion in December, their worst month ever. The record exodus brought the yearly outflows to $301 billion, just shy of 2016's $320 billion.
"December outflows spanned asset classes, with taxable-bond funds faring worst. [Active] large-growth and large-value funds continue to get hit the hardest, likely losing assets to passively managed, core large-blend funds," Morningstar senior analyst Kevin McDevitt said in a note on Thursday.
Investors, at the same time, fled to cheaper passive strategies amid the brutal sell-off, as the higher expense of active management put extra pressure on their returns. Passive funds reeled in nearly $60 billion in December alone, according to Morningstar.
Among active strategies, bond funds bled the most in December with $44.3 billion outflows, the data showed.
"This is notable because taxable-bond funds had been a rare bright spot for active managers. But as investors pulled money in 2018's fourth quarter, it came almost entirely from active taxable-bond offerings ... while they were essentially flat for passive vehicles," McDevitt said.
Passive strategies continue to gain popularity as the market for index funds has reached $6 trillion, while the market for exchange-traded funds has ballooned to $3.6 trillion in assets.
The indexing industry on Wednesday lost one of its most prominent figures. Jack Bogle, founder of Vanguard Group and creator of the world's first index mutual fund, the First Index Investment Trust, died at age 89.