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The Power of Passive: Why Index Funds Belong in Every Portfolio - RECAP

By Northern Trust Asset Management 23 Apr 2025
2 min read

The Power of Passive: Why Index Funds Belong in Every Portfolio

 

In a financial world that often mistakes complexity for sophistication, the message from Timeline’s recent webinar was refreshingly clear: simplicity can be powerful. Hosted by Laurentius van den Worm, CFA, Head of Investment Strategy at Timeline, the session took a deep dive into the growing appeal of passive investing — and why it's becoming a go-to strategy not just for everyday investors, but also for high-net-worth and ultra-high-net-worth clients.

Passive investing, often dismissed as “too basic” for wealthier clients, was put under the microscope. Laurentius challenged long-held assumptions, examined decades of performance data, and broke down the persistent myths that surround index funds. The takeaway? Passive investing doesn’t just hold its own — it consistently delivers.

The webinar also explored how even billionaire family offices are increasingly turning to index strategies for their proven track record, low costs, and transparency. For advisers and investors alike, the session was a wake-up call to rethink what truly drives portfolio performance.

If you missed it, the insights are still relevant — and well worth your time. Passive isn't just for the masses; it’s smart investing at every level.

Your specialist, Laurentius van den Worm, CFA - Head of Investment Strategy at Timeline

Laurentius van den Worm joined the Timeline Investment team in January 2022 after moving to the United Kingdom from South Africa. He serves as an investment strategist that oversees the fund research and selection, asset allocation and portfolio construction functions in collaboration with the CIO.

Laurentius has seven years of experience in the South African investment markets.  In his previous role, he served as an investment analyst and financial consultant in the wealth management industry in South Africa, where he gained experience in various financial activities, including portfolio management, investment research, financial analysis, and wealth management.

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Timeline investing and platform services are provided by Timeline Portfolios Limited (No. 11557205), which is authorised and regulated by the Financial Conduct Authority (FRN: 840807). Timeline planning software and tools are provided by Timelineapp Tech Limited (No. 11405676) and are not regulated by the Financial Conduct Authority. Both companies are registered in England and Wales with their registered office at 70 Gracechurch Street, London, EC3V 0HR.

Past performance is no guarantee of future return. The value of investments and the income from them can go down as well as up. You may get back less than you invest. Transaction costs, taxes and inflation reduce investment returns.