Warren Buffett: Billions being 'wasted' on active management fees

Called Vanguard's Jack Bogle a 'hero'

Warren Buffett has once again hit out at the actively-managed fund industry, urging investors to avoid high fees by putting money into passives.

According to Reuters, the billionaire CEO of US investment company Berkshire Hathaway, said on Saturday that both large and small investors should stick with low-cost index funds, as it "will usually be the managers who reap outsized profits, not the clients". The long-time investor, now 86, said the search for outperformance has caused investors to "waste" more than $100bn over the past decade, with trillions of dollars being managed by "Wall Streeters charging high fees". He also called Jack Bogle, founder of passive house Vanguard, a "hero" for popularising index funds in the early...