what is the default approach to equity management at cfa level iii
The default approach to equity management at CFA Level III is broad market index exposure. This is because active equity management has a low base rate of success after fees, especially in large-cap US.
Active management is only considered when there is a genuine reason to believe in the manager's edge. This approach is based on the idea that it is difficult to consistently outperform the market through active management, and that index funds can provide a low-cost and efficient way to gain broad market exposure.
From the full lesson: Equities at Level III
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