{"id":430507,"date":"2021-10-05T14:45:36","date_gmt":"2021-10-05T18:45:36","guid":{"rendered":"https:\/\/www.investmentexecutive.com\/?p=430507"},"modified":"2022-08-26T09:33:26","modified_gmt":"2022-08-26T13:33:26","slug":"equity-managers-performance-mixed-over-past-12-months","status":"publish","type":"post","link":"https:\/\/www.investmentexecutive.com\/news\/research-and-markets\/equity-managers-performance-mixed-over-past-12-months\/","title":{"rendered":"Equity managers&#8217; performance mixed over past 12 months"},"content":{"rendered":"<p>With markets booming, Canadian equity managers delivered mixed results over the past year, according to the <a href=\"https:\/\/www.spglobal.com\/spdji\/en\/documents\/spiva\/spiva-canada-mid-year-2021.pdf\" target=\"_blank\" rel=\"noopener noreferrer\">S&amp;P Indices Versus Active (SPIVA) Canada mid-year scorecard<\/a> published\u00a0on Tuesday.<\/p>\n<p>The SPIVA scorecard measures the performance of actively managed funds against their S&amp;P Dow Jones Indices benchmark indexes.<\/p>\n<p>The mid-year report comes after a year of impressive market gains. In Canada, the S&amp;P\/TSX Composite index gained about 34% for the 12-month period ending on June 30, the report noted. The smaller-cap names of the S&amp;P\/TSX Completion index gained about 35%.<\/p>\n<p>Over that same period, 60% of Canadian equity funds underperformed the Composite index, while only 15% of Canadian small- and mid-cap funds underperformed the Completion index.<\/p>\n<p>Other mixed results: almost all Canadian dividend and income equity funds (98%) fell short of the S&amp;P\/TSX Canadian Dividend Aristocrats index; in contrast, only 23% of Canadian-focused equity funds underperformed the associated benchmark. (Canadian-focused equity funds are measured against a blended benchmark comprising portions of the S&amp;P\/TSX Composite, S&amp;P 500 and S&amp;P EPAC [Europe, Pacific, Asia and Canada] LargeMidCap.)<\/p>\n<p>However, over the long term, the trend of widespread underperformance by equity managers holds.<\/p>\n<p>Over three years, about 94% of Canadian equity managers underperformed; over five years, about 96% were worse than the index; and over 10 years, about 83% underperformed. For Canadian small- and mid-cap equity managers, those underperformance figures were about 52% (three years), 65% (five years) and 62% (10 years).<\/p>\n<p>Over 10 years, the worst-performing category was Canadian-focused equity funds, with about 96% of funds underperforming. U.S. equity funds were a close second.<\/p>\n<p>Over that period, 62% of Canadian small- and mid-cap equity funds trailed the benchmark \u2014 &#8220;technically the best performing category over the past 10 years,&#8221; the report said.<\/p>\n<p>For full details, read the <a href=\"https:\/\/www.spglobal.com\/spdji\/en\/documents\/spiva\/spiva-canada-mid-year-2021.pdf\" target=\"_blank\" rel=\"noopener noreferrer\">SPIVA Canada mid-year scorecard<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Most Canadian small- and mid-cap managers outperformed their index, according to the latest SPIVA scorecard<\/p>\n","protected":false},"author":143134,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[2313,2312],"tags":[54015,2341],"yst_prominent_words":[15544,91383,91382,91380,91379,91378,91377,91376,91375,33668,33667,1369,14106,13954,13894,13311,11451,7767,2168],"acf":[],"_links":{"self":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts\/430507"}],"collection":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/users\/143134"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/comments?post=430507"}],"version-history":[{"count":4,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts\/430507\/revisions"}],"predecessor-version":[{"id":450306,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts\/430507\/revisions\/450306"}],"wp:attachment":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/media?parent=430507"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/categories?post=430507"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/tags?post=430507"},{"taxonomy":"yst_prominent_words","embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/yst_prominent_words?post=430507"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}