analysis and strategies
Concentrated funds have outperformed their non-concentrated counterparts by almost 1% over the past decade, according to a Standard & Poor's (S&P) study. For almost all style categories (the two exceptions were the mid-cap value and mid-cap growth categories), the average 10-year annualised return as of 31 March 2003 for concentrated funds was 9.29%, just under a percentage point greater than that of non-concentrated funds, which was 8.31%. 'The average absolute return and Sharpe Ratio of concentrated funds do show that these types of funds provide better return relative to the risk t...
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