Chasing Alpha: SPIVA 2025, Active vs Passive Investing, and Why Most Managers Underperform

In this episode of the Global Thinking Podcast, host Rob Duncan sits down with Dr. Joe Nelesen from S&P Dow Jones Indices to break down the SPIVA Canada 2025 report and what it reveals about active vs passive investing.

The data is clear. Most active managers underperform their benchmarks — not just in 2025, but over longer time horizons. This raises a critical question for investors and advisors alike. Is it still worth chasing alpha?

Rob and Joe explore:

Why active managers consistently struggle to beat the market The role of fees, market efficiency, and survivorship bias Where active investing may still have an edge The continued rise of ETFs and index investing How AI, tokenization, and evolving market structure could shape the future

Whether you are a portfolio manager, financial advisor, or individual investor, this episode provides a data-driven look at one of the most important debates in investing today.

If you are building portfolios in today's market, understanding the trade-offs between active and passive investing has never been more important.

Chapters

00:00 Introduction to Global Thinking Podcast

02:31 Understanding the SPIVA Report Card

04:35 Performance of Active Managers in 2025

09:00 Factors Leading to Underperformance

13:11 The Role of Fees and Market Dynamics