This article is part of a series of essays on the indexation of mutual funds. It shows that indexed funds are better vehicles from the investors point of view. Compared with actively managed funds, index funds present less risk and allow management fee savings. Their superiority is demonstrated by the following two findings: 1) on the average actively managed funds performance is not superior to that of index funds, 2) actively managed funds don't show any significant performance persistence. It is impossible to forecast their performance.
AFTALION, F. (2001). Which is Best for Investors. Indexation & Investment, pp. 2-4.