Active investments

Columbia Threadneedle Investments is preparing to launch a new range of Irish-domiciled active ETFs, but unlike many of its peers, the firm will oversee these funds from Luxembourg, not Dublin.

Despite scepticism, JPMorgan dominates Europe’s active ETF market, proving that alpha is possible—leaving rivals trailing as investors seek outperformance in a booming yet contested space.

It is very difficult to apply ESG criteria consistently to purely passive investments. Active investments lend themselves much better to this. It is easier to apply an integration approach that goes beyond exclusions in active management. In the end, it is all about the client’s profile, which has to match the risk/reward profile of a fund or strategy and the client’s sustainability preferences.