I think it's worth backing up a step and asking what problem a password manager is trying to solve. I see two:
- Using the same password in many places (like having your car keys open your house)
- Lousy passwords like 'qwerty'.
They are not trying to:
- Keep yout computers safe from attacks by major world governments
- Keep your credit card and similar information secure once the vendor has it.
Would it be nice lf these happened too? Sure. But it's not reasonable to expect a PWM to do these things, and it sure does not make any sense not to use one because it is only 99.9999% effective.
It is absolutely true that a bad actor can steal your laptop, remove the hard disk, find the erased swap file, potentially remove it, and knowing something about the PWMs data structures, recover one or more of the individual passwords. It is also true that some PWMs make this easier than others.
So what? If they can do this, they can also get into your Quicken data and collection of cat videos. That's hardly the PWM's problem.
Can the PWM company lose their customer data. Sure. Every company can, many have, and those that haven't just haven't yet. Many, likely most of these, have had an "inside man", so it's only a matter of time. That's certainly a problem, but it's not the PWM's problem. Maybe it's PWM Corps's problem, but so long as they don't keep your master password (I don't believe any of the major PWMs do) it's not a PWM problem.
So use a PWM so you can use OOgs1h6&LgXkDlrC5zzUxiZ instead of qwerty. Don't sweat the details.
Can the CIA still break into your laptop. Probably. But don't sweat it; you aren't that important.