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What is passive investing?

Updated over a month ago

With passive investing, you follow the overall market, usually by investing in ETFs that track an index (which is why they're sometimes called index trackers).

A passive investor doesn’t need to analyze individual companies or sectors, nor do they need to monitor stock prices daily to decide whether to adjust their strategy.

Because there’s less buying and selling involved, the costs of passive investing are often lower than those of active investing.

Research has shown that passive investment strategies generally deliver better results than active strategies. That’s why UpToMore chooses a passive investment approach. The UpToMore Fund is a passive investment fund that follows global stock markets by investing in a selection of ETFs.

Read the blog Passive vs. Active Investing for a full comparison.

Important: Investing involves risks. The value of your investments can go up or down, and you may lose part or all of your initial deposit. Historical averages do not guarantee future results.

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