Passive funds may struggle to balance, for example, a 50/50 high yield and investment-grade corporate bond allocation, because such funds may struggle to adapt quickly if bonds are called early or face default. Active funds can. Not only that, but specifically for rate cuts, active can help. Active managers can lean on fundamental research to identify the appropriate, standout bonds as the yield curve shifts. As with equities, active investing can help find issuers able to do well, meeting various fundamen ...