Tears are being shed and the violins of sorrow are playing as a Morgan Stanley report bemoans the difficulty an active fund manager has beating a stock index. “We offer investors a break some may need – they are being compared to a moving target, and that target is hard to beat,” the report noted. There are several reasons that fund managers are having difficulty, and the research piece, titled “Why Is Active Management So Difficult,” provided cover for fund managers missing the mark. Morgan Stanley says comparing active fund managers managers to the S&P 500 is not accurate due…
Active Managers – Fear Not, Morgan Stanley Has Another Excuse For S&P 500 Underperformance
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.