More than 50% large-cap equity funds underperform their benchmark indices
More than 50 per cent of the large-cap and mid/small equity funds underperformed their respective benchmark indices for one year period ending June 30, says a report. Asia Index's S&P Indices Versus Active (SPIVA) India Scorecard, 52.87 per cent of large-cap equity funds, 56.52 per cent of mid/small-cap equity funds underperformed their respective indices, in the past one year. Large cap equity funds are compared against Large-Cap S&P BSE 100 index, while mid/small cap equities are compared against S&P BSE MidCap index. Besides, 73.83 per cent of Indian composite bond funds also underperformed their index -- S&P BSE India Bond Index. "As of June 2007, there were 118 large-cap equity funds available for investment. Out of these, 40 funds either merged or liquidated over the 10-year period ending June 30 2017 resulting in a survivorship rate of 66 per cent," Asia Index Associate Director (Global Research & Design) Akash Jain said. "Additionally, 29...05-10-2017
