What passes for active investing is not always active. Statistics often include mutual funds which are often restricted to specific sectors and always encouraged to be 100% invested. A true active investor will take profits, stop- out losses and sit in cash when appropriate. A passive investor is at the whim of the markets which is never intelligent investing and guarantees losses when the market turns down. Passive investing uses past performance which makes an enormous presumption that the US markets will repeat what they have done in the past. In the past, there was no market in China to collapse and cause a 1000 point drop in the DJIA. Globalization of the markets requires an eyes-open approach to investing.