Spot the Dog: 9% fall in underperforming funds as Fundsmith and Lindsell Train drop out of the list

Number of underperforming funds still high

The number of consistently underperforming funds has fallen by 9% to 137 from 151 in January, according to Bestinvest’s latest Spot the Dog report.

Bestinvest classifies funds that have consistently underperformed over three consecutive 12-month periods and by 5% or more during those three years as "in the doghouse".  Despite the fall in the number of ‘dog' funds over the last six months to 30 June, Bestinvest noted that fund groups should renege from "congratulating themselves" as the 137 funds in the report remains significantly higher than the 56 funds flagged a year ago.  Having made its first appearance in the Spot the Dog survey earlier this year, Terry Smith's flagship £24bn Fundsmith Equity was omitted from the list this ...