Tag Archives: active underperformance

Active Management Underperformance in 2016 Generally Higher Than in Previous Years

Director

Global Research & Design

April 4, 2017 - 11:38 am

European equity markets, as measured by the S&P Europe 350, went up 3.44% in 2016, yet the average performance of active managers invested in Europe was negative, whether measured on an asset-weighted or equal-weighted basis. Over the one-year period, more than 80% of active managers invested in European equities underperformed their respective S&P DJI benchmark. Read more […]

Also tagged:
S&P Europe 350, SPIVA Europe

The Rest of the Story

Craig Lazzara

Managing Director and Global Head of Index Investment Strategy

S&P Dow Jones Indices

January 6, 2015 - 3:06 pm

Category: Equities, S&P 500 & DJIA, Strategy

This morning’s Wall Street Journal offered a partial explanation for the failure of most active managers to outperform their cap-weighted index benchmarks in 2014. The proffered explanation is that “the rally in U.S. stocks was generally led by giant-company shares, such as Apple Inc., which rose 40%.” Since most active funds are underweight most mega-cap Read more […]

Also tagged:
active management, correlation, Craig Lazzara, dispersion, equal weight, equal weighted, equal weighting, index performance, Morningstar, passive management, S&P 500, SPIVA, Wall Street Journal

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