Active Management


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Active Management

The opposite of passive management. The passive manager simply minimizes the tracking error of their portfolio and a well known index (e.g. S&P 500 index mutual funds). The active manager will deviate from the benchmark weights by (i) varying the weights from the benchmark weights on the securities; (ii) adding securities outside the benchmark or choosing not to hold securities included in the benchmark and (iii) time-varying asset allocation where weights on certain asset classes change through time. The goal of active management is to produce a return that exceeds the passive return with minimal risk.

Active Management

The practice of a money manager or a team of money managers making investment decisions on what securities to include in a mutual fund or portfolio. Sometimes active management exists within certain parameters; for example, money managers may only buy blue-chip stocks for a certain fund and growth stocks for another. The basic premise of active management, however, states that the managers can maximize the return for investors by buying or selling securities on a fairly regular basis. See also: Passive management, Indexing.
References in periodicals archive ?
The City of Atlanta and ADID, with funding from the Georgia Department of Transportation (GDOT), desire to partner to support the active management of traffic signal operations within Downtown Atlanta.
Safe Frontier recently launched Active Management Cloud (AMC) - industry first, infrastructure as a service for "beyond the operating system" management of Intel[sup.
A situational analysis was conducted regarding the current practice of active management of the third stage of labour and the management of eclampsia in 30 of the 42 busiest public birthing facilities in Cambodia.
1) The International Federation of Gynecologists and Obstetricians (FIGO) and the International Confederation of Midwives (ICM) recommend that vaginal singleton births routinely receive active management during the third stage of labor: Birth attendants should administer the correct dose of a uterotonic drug within one minute of fetal delivery, provide controlled traction of the umbilical cord and fundal massage after delivery of the placenta, and perform uterine palpations every 15 minutes for two hours afterward.
The original joint Statement promoting active management of third stage was drafted by FIGO with assistance from ICM Head Office in 2003, as part of the Safe Motherhood program, to try and reduce the numbers of maternal deaths in the developing world (International Confederation of Midwives and International Federation of Gynaecologists and Obstetricians, 2003).
vPro with active management technology and the latest hardware security standard.
Through active management, leasing and refinancing of undervalued properties" added Arthur, "we believe we can create enhanced returns for potential institutional investors in the Fund".
Additionally, the ClientPro 375 also delivers enhanced management features by utilizing Intel's new Active Management Technology (AMT) hardware and optional LANDesk software technologies, which provide improved asset management and hardware security.
On the other hand, in Kimbell, the Fifth Circuit found that the transfer was properly documented as being motivated by a desire for centralized active management and protection from environmental legal claims.
Worldwide Computer Products News-27 October 2004-CA to support Intel Active Management Technology(C)1995-2004 M2 COMMUNICATIONS LTD http://www.
He based his assessment on two randomized studies--one in 1992 with 705 women and the other in 1995 with 1,263 women--that found C-section rates below 11% in this select population of women who received active management of labor.
These larger storage systems provide lower cost storage but they also reduce active management requirements since data safely stored on removable media no longer requires high levels of active management.