Tag Archives: Active

Apr 22, 2020

Is Volatility an Investor’s Friend or Enemy?

Explore how high volatility and high dispersion can impact passive and active managers’ performance with S&P DJI’s Craig Lazzara. Get the latest Dispersion, Volatility, & Correlation dashboard: https://spdji.com/documents/commentary/dashboard-dispersion-2020-03.pdf    

READ

Mar 7, 2018

The Rise of Sectors: Active and Passive Applications

Investment strategies that switch between sectors or industries – and the related activity of using sectoral performances to discern broader macroeconomic trends – have long been an part of professional investing.  However, it is surprisingly difficult to find even basic research explaining how sectors are classified, why they are important and how they might be…

READ

Sep 6, 2016

Risk and Active Management

Regular readers of this blog will be familiar with industry-wide comparisons made between the returns of active funds and their passive equivalents.  Studies comparing the risk of active funds are rarer, but have the potential to provide actionable insights:  at the very least, examinations of fund risk can help to evaluate the a claim that active…

READ

Aug 5, 2014

Does active management work in Europe?

Academic arguments may well have “proven” the theoretical advantages of passive investing.  But theory is nothing without experiment; a comprehensive and impartial assessment of where and when active managers have delivered the promised “alpha” – or not – is a necessary and critical component of the debate. Our S&P Index Versus Active scorecard and associated…

READ

Mar 25, 2014

Don’t just do something, sit there.

At the beginning of this year, we suggested that 2013 might well have been a another tough year for active managers. Judging from the response received at the time, this expectation was somewhat controversial: the more common refrain was to point to falling correlations during 2013 and predict a return to “stock-pickers’ market.” In such an environment,…

READ

Jan 14, 2014

Voting with Their Feet

Despite superb returns for the equity markets across the developed world, 2013 was a tough year for active managers.  While the average hedge fund recorded fairly solid gains over the year, such performance paled in comparison to the rampant equity markets.  It was also a year that saw historic lows for the potential returns available…

READ

Dec 31, 2013

ETFs poised to overtake Hedge Funds in 2014

If current trends continue, 2014 will herald a significant milestone for the ETF and hedge fund industries, as the total amount of capital invested in the former threatens to overtake the latter. Hedge funds search relentlessly to deliver on a promise of alpha while their privileged investors – supplying notoriously high fees and the tactical…

READ


Sign up to receive Indexology® Blog email updates