Traditional funds try to guess which stocks or bonds will be the most profitable in the future and when is the best time to buy and sell them
These are called active management funds and most Lithuanian pension funds are managed using active investment management. In this way, fund managers aim to beat the market, i.e. earn more than the entire market in which they invest. Unfortunately, historical results show that almost all actively managed funds underperform the market in which they invest over the long term.