Next Article in Journal
Financial Distress Comparison Across Three Global Regions
Previous Article in Journal
The Intra-Industry Effects of Life Insurance Company Demutualizaton
Article Menu

Export Article

Open AccessArticle
J. Risk Financial Manag. 2008, 1(1), 100-128; doi:10.3390/jrfm1010100

Active Versus Passive Investing - An Analysis of UK Equity Markets, 1991-2005

National University of Ireland, Cork, O’Rahilly Building, UCC, College Road, Cork, Ireland
*
Author to whom correspondence should be addressed.
Published: 31 December 2008
View Full-Text   |   Download PDF [157 KB, uploaded 27 August 2013]   |  

Abstract

This study examines the pattern of active versus passive trading in UK equities over the period 1991-2005. We describe a metric to analyse trading activity and volumes in the UK FTSE350 and AIM markets, with emphasis on industrial and size-based effects. Our findings indicate that active stock picking has been consistently declining in the UK market over the period studied for all markets, size quintiles and in virtually every industrial sector. Moreover, trading patterns reveal a pronounced size effect with significantly less stock picking in larger capitalisation stocks vis-à-vis smaller stocks. Patterns of investment in the AIM suggest an increase in index trading over time but higher overall levels of stock picking relative to the FTSE350 list. View Full-Text
This is an open access article distributed under the Creative Commons Attribution License (CC BY 3.0).

Scifeed alert for new publications

Never miss any articles matching your research from any publisher
  • Get alerts for new papers matching your research
  • Find out the new papers from selected authors
  • Updated daily for 49'000+ journals and 6000+ publishers
  • Define your Scifeed now

SciFeed Share & Cite This Article

MDPI and ACS Style

Barnes, E.; Scott, M. Active Versus Passive Investing - An Analysis of UK Equity Markets, 1991-2005. J. Risk Financial Manag. 2008, 1, 100-128.

Show more citation formats Show less citations formats

Related Articles

Article Metrics

Article Access Statistics

1

Comments

[Return to top]
J. Risk Financial Manag. EISSN 1911-8074 Published by MDPI AG, Basel, Switzerland RSS E-Mail Table of Contents Alert
Back to Top