Unigestion's Frick: Active managers 'embracing new technologies' to 'outsmart passive'

Unigestion is using machine learning to "extract patterns"

CEO of Unigestion, Fiona Frick, has said the future of active asset management could be to embrace advanced technological change, such as artificial intelligence, in efforts to “outsmart” the growing passive funds market.

Passive funds made up 14% of the European market by the end of 2017, well short of their share of the US market of which they now represent more than 50%. However, with capital rushing into passive products, Moody's predicted at the end of 2018 that the share of the European market could rise to 27% by 2025. Moody's: Passive fund European market share to hit 25% by 2025 In efforts to defend active managers' share of the funds market Frick said embracing techniques such as machine learning, alternative data and automated processes "reduces subjectivity and the risk of emotional bias", ...