Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Over 16 Percent of Equity Funds Have Had a PM Change Recently Not Rated 0.0 Email Routing List Email & Route  Print Print
Tuesday, May 27, 2014

Over 16 Percent of Equity Funds Have Had a PM Change Recently

News summary by MFWire's editors

Barron’s Brendan Conway has taken note of the turnover in equity managers over the past three years.

Citing stats from analyst Todd Rosenbluth of S&P Capital IQ, he writes that 16.3 percent out of 6,185 U.S. equity funds tracked by S&P Capital have had a manager change since 2011.

He alerts readers that this turnover is important because, as he writes, “Fund managers bring their own style even when the mandate remains unchanged. This factor often makes comparing the fund’s own performance over time apples to oranges.”

Conway cites a paper written by Rosenbluth analyzing the impact such changes have had on the Fidelity Growth & Income and the Janus Contrarian fund.

In a way, this article represents an opportunity for fund firms to raise the debate on the significance of active management talent.

Conway himself writes that “I’ll guess most investors couldn’t name the person or people whom they’re trusting.”

The question is whether this is really a bad or a good thing.

Some firms, of course, take great pride in their PM talent, going to great lengths to promote this talent to financial advisors, platforms, what have you. Other firms forgo the PM star constellation system altogether and rely instead on more anonymous teams, or quantitative black boxes, or indexing.

It’s not like fund firms can hide PM changes. All an investor need do is go to SEC filings and such to learn what is changing in a fund.

How much attention does the investing public pay to fund PMs? Does it even matter as more in the industry move toward the paradigm of investment solutions and outcomes?

Yet another question to ponder as you evolve the ways you engage retail investors.  

Edited by: Tommy Fernandez


Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE

0.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2024: Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Raw XML
Add to My Yahoo!
follow us in feedly




©All rights reserved to InvestmentWires, Inc. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use