Passive Managers have been having a super time over the last few years. But the skies are brightening for Active players. In the year to June 2017 over half of all US equity mutual funds outperformed their benchmarks, according to the latest flagship scorecard from SPDJI released last week. Equity hedge funds are also enjoying a welcome hot streak. On average they have gained 8.6 per cent this year, according to HFR, the research group, making this the strongest run in four years.Could this be the beginning of a cyclical change? And what impact will this have on asset allocation?