Consistency in managers hard to find

multi-manager conference

For funds of funds (Fof) to succeed, they have to be able to pick underlying portfolios that are con...

For funds of funds (Fof) to succeed, they have to be able to pick underlying portfolios that are consistent performers. That is the view of Richard Philbin, associate director at Isis. He said while Fofs offer diversification, it is not enough by itself. Philbin pointed out consistency in funds is hard to find. Within the UK All Companies sector, some 90 funds were 50th percentile or above in 1998 but, of these, only 36 managed to repeat the feat in 1999 and only 18 were 50th percentile or above in 1998, 1999 and 2000. Despite this difficulty, Philbin claimed consistency is worth findin...