Over a 12-month-rolling period, 45% of Europe managers and 43% of emerging markets managers as well as 46% of US managers outperformed their benchmarks net of fees.
In May, active managers in Europe showed very good results; 70% of the managers outperformed their respective indices net of fees. While emerging market managers also showed a good performance, US managers could not convince. 60% of emerging markets managers outperformed their indices in May, and only 38% of US managers were able to beat their benchmarks.
In Europe, small caps performed much better than large caps in May. Sector-wise, IT performed well in all regions, while telecom, financials and utilities underperformed. Value stocks underperformed growth stocks. The outperformance of small caps and growth contributed positively especially to the performance of Europe managers as they had an overweight position in those factor risks. In addition to that, the underperformance of sectors such as financials, telecoms and utilities also helped Europe managers in particular.
Please find the full fundinfo Research News – June 2018 edition including a summary of manager meetings attached on the left.