(LinkedIn) So you think your bond index is passive? Think again.

Plus ça change, plus c’est la même chose. The more things change, the more they stay the same. While the saying is true for many narratives about financial markets, it does not apply to investing in passive equity and fixed income indices. Many investors view their passive exposure as “constant and consistent risk.” The truth is that an index composition changes over time, and so does the risk.

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