Majority of active US, EM and global funds underperform index - S&P research

99% of active US funds do not beat index over 10 years

Most active US, global and emerging market funds have underperformed their benchmarks over the past decade, according to research from S&P Dow Jones.

The latest figures revealed some 99% of actively managed US equity funds on sale in Europe have failed to outperform the S&P 500 benchmark since 2006. For global equity funds, this figure stands at 98% when compared to the S&P Global 1200 index, while just 3% of all emerging market funds have managed to beat their benchmark. Overall, four out of five active equity funds sold in Europe have failed to outperform their benchmark over the past five years, while over the past decade just one out of 10 funds has risen to the challenge. The Financial Times quotes Daniel Ung, director of r...