In recent years, there has been an enormous shift towards passive investing and index funds, supported by academics, investment practitioners, financial advisors, and assorted pundits. While we don’t know if they’re right for you (speak to your financial advisor), are there any situations where managed funds may be a better option? As an asset management company focused on microcaps, perhaps unsurprisingly, we think microcaps fall into that category. Why do we say this?