Investors in actively managed equity funds should continue to breathe easy. The latest SPIVA India (S&P Indices Versus Active Funds) scorecard suggests that the average rupee invested in equity mutual funds continues to grow faster than the index.
Although the report highlights that many schemes underperformed their benchmarks during some periods, it is because the performance was calculated by assigning equal weightage to all funds in a category. The study admits that on an asset weighted basis - where performance is weighted as per the asset size of each fund - all fund categories continue to deliver outperformance versus the index.
