10 Investment Must Reads for This Week (Oct. 21, 2025)

Group 1 - The article discusses the inefficacy of most active managers in adding value to investments, even in favorable market conditions, highlighting the unpredictability of market climates that may benefit active management [1] - JP Morgan is launching a new wrap-fee advisory platform named J.P. Morgan Managed Services, which will provide access to managed portfolios from both JP Morgan and third-party investment managers [2] - Business Development Companies (BDCs) are facing scrutiny as their stock prices have fallen to multi-year lows, and bond spreads have widened significantly, indicating potential challenges in the private credit market [3] Group 2 - The article explores the implications of ETF share classes for mutual funds, noting the operational challenges and potential outcomes for mutual fund companies that have not yet adopted ETF offerings [4] - Swap financing costs for certain funds have risen significantly, accounting for 6.40% to 8.60% of average daily net assets, with annual costs from spread components ranging from 3.00% to over 4.10% [5] - Private credit is projected to anchor $119 billion in alternative flows by 2026, with a year-over-year growth rate of around 6%, reflecting a substantial increase in fundraising since 2020 [6] Group 3 - Asset managers are increasing efforts to encourage the use of artificial intelligence tools among employees, with some tracking usage and incorporating it into performance evaluations [7] - A new GOP bill aims to codify a previous executive order by President Trump, facilitating retirement plans' investments in private markets [8] - The number of private equity and venture capital funds has surpassed the number of McDonald's franchises, indicating a significant rise in alternative investments, which now account for approximately 12% of US investments [9] Group 4 - The wealth management sector is experiencing a deal boom, driven by an increase in high-net-worth investors, who collectively hold an estimated $140 trillion in global private assets [10]