💡Information or disinformation❓ #1

21 December 2020

🗣For most investors, it is a given that 𝐚𝐥𝐥 𝐔𝐒 𝐀𝐜𝐭𝐢𝐯𝐞 𝐟𝐮𝐧𝐝𝐬 𝐟𝐚𝐢𝐥𝐞𝐝 𝐭𝐨 𝐨𝐮𝐭𝐩𝐞𝐫𝐟𝐨𝐫𝐦 𝐝𝐮𝐫𝐢𝐧𝐠 𝐂𝐨𝐯𝐢𝐝 𝟏𝟗 𝐜𝐫𝐢𝐬𝐢𝐬. First, because they all take for granted that passive is the preferred choice for US equity and second because the belief that active managers were doing better during difficult times, has been challenged in many articles following the Covid 19 crisis.

📌 Yet do you have in mind that 41% of US large-cap equity active managers outperformed the benchmark in H1 2020 vs 21% over 5y and 12% over 10y according to SPIVA’s latest European report?

📌And additionally, have you seen that 46.5% of US large-cap equity active managers outperformed their passive counterparts in H1 2020 vs 14% over 5 years and 6% over 10 years according to Morningstar’s latest European report?

✅ This puts in question certainties and reinforces my conviction as an expert in #portfolioconstruction that 𝐥𝐨𝐨𝐤𝐢𝐧𝐠 𝐢𝐧 𝐝𝐞𝐭𝐚𝐢𝐥𝐬 𝐢𝐧𝐭𝐨 𝐝𝐚𝐭𝐚 𝐚𝐥𝐥𝐨𝐰 𝐦𝐨𝐫𝐞 𝐞𝐟𝐟𝐢𝐜𝐢𝐞𝐧𝐭 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐝𝐞𝐜𝐢𝐬𝐢𝐨𝐧 𝐭𝐨 𝐛𝐮𝐢𝐥𝐝 𝐨𝐮𝐭𝐩𝐞𝐫𝐟𝐨𝐫𝐦𝐢𝐧𝐠 𝐩𝐨𝐫𝐭𝐟𝐨𝐥𝐢𝐨🥇

Marlene Hassine Konqui