A detailed discussion of the conditions necessary for investors to consider active management, and the requirements for the majority of managers to outperform the market. For six equity assets classes, we discuss the manager database, popular benchmarks, general bets embedded in active management, and indexing options to develop a framework for evaluating the expected performance of managers relative to benchmarks. Exhibits cover index weightings by market capitalization and number of companies, as well as manager performance gross and net of fees.