Most respondents also said that this market would be better for active management styles, giving investors the best chance to avoid losses.
“Nearly three-quarters say active management is also better at providing downside protection than passive strategies,” the survey said.
Giunta, citing recent annual Natixis surveys, said that allocations in passively managed funds have declined to 32 percent from 36 percent in 2015.
“As they plot their course,” he added, “the majority of institutions tell us active management offers the most promising way to achieve key objectives in markets like these, such as providing downside protection, gaining exposure to non-correlated asset classes, taking advantage of short-term market movements and ultimately delivering better risk-adjusted returns.”
Natixis surveyed some 500 institutional investors, including managers of corporate and public pension funds.