Why active? Bond portfolio income is meant to address volatility, but leaning on a passive strategy can limit a fund's ability to do so. Active, by contrast, can address potential issues or market swings. Outside of day to day shifts, however active has another role in any fixed income strategy. On a basic level, if a bond is called early or defaults, passive funds may struggle to quickly adapt. That may prevent a passive strategy from properly replicating its index allocations, further limiting its abilit ...