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When Outperformance Puts Active Managers Out Of Business

TedTed
in Fund Discussions
FYI: The legal jargon about past performance not being indicative of future returns might need to be tweaked to suggest that past performance could be indicative of future underperformance.

New research from S&P Global Market Intelligence and S&P Dow Jones Indices shows that outperformance of an actively managed fund could lead to underperformance because of what it takes to beat a benchmark
Regards,
Ted
http://www.investmentnews.com/article/20160822/FREE/160829992?template=printart

Comments

  • Sven
    The embedded article by Scott Opsal is a good read that spans several financial cycles from 1991.
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