Asia funds stand out as brighter spot in dark year for active managers

In a year in which active management has struggled severely, Asia-focused funds have emerged as the only major equity grouping in which the average manager has beaten the benchmark.

After a runaway 2013, large swathes of equity funds have failed to outperform their benchmarks this year as active managers weathered market volatility and, in some cases, a market rotation away from small- and mid-caps. As Investment Week went to press on 26 November, the average return in each of the UK All Companies, North America, Global, Japan, Global Emerging Markets and Europe ex UK sectors had underperformed the equivalent benchmark index so far this year. Asia Pacific ex-Japan funds, however, have had a slightly better time of it: the average fund in the sector has returned 1...