active manager excess returns · greycourt white paper no: 57 1– actively passive white paper no....

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GREYCOURT WHITE PAPER NO: 57 – ACTIVELY PASSIVE WHITE PAPER NO. 57 OCTOBER 2013 Insanity: doing the same thing over and over again and expecting the same results”. Albert Einstein THE SAD FACTS Active Manager Excess Returns 1

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Page 1: Active Manager Excess Returns · GREYCOURT WHITE PAPER NO: 57 1– ACTIVELY PASSIVE WHITE PAPER NO. 57 OCTOBER 2013 RInsanity: doing the same thing over and over again and expecting

GREYCOURT WHITE PAPER NO: 57 – ACTIVELY PASSIVE

WHITE PAPER NO. 57

OCTOBER 2013

“Insanity: doing the same thing over and over

again and expecting the same results”.

– Albert Einstein

THE SAD FACTS

Active Manager Excess Returns

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Page 2: Active Manager Excess Returns · GREYCOURT WHITE PAPER NO: 57 1– ACTIVELY PASSIVE WHITE PAPER NO. 57 OCTOBER 2013 RInsanity: doing the same thing over and over again and expecting

GREYCOURT WHITE PAPER NO: 57 – ACTIVELY PASSIVE

WHITE PAPER NO. 57

OCTOBER 2013

THINGS ARE EVEN WORSE THAT THEY APPREAR…

BUT WAIT THERE’S MORE…

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Page 3: Active Manager Excess Returns · GREYCOURT WHITE PAPER NO: 57 1– ACTIVELY PASSIVE WHITE PAPER NO. 57 OCTOBER 2013 RInsanity: doing the same thing over and over again and expecting

GREYCOURT WHITE PAPER NO: 57 – ACTIVELY PASSIVE

WHITE PAPER NO. 57

OCTOBER 2013

US LARGE

US MID

US SMALL

FOREIGN

EUROPE

DIVERSIFIED PACIFIC

EMERGING MARKETS

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Page 4: Active Manager Excess Returns · GREYCOURT WHITE PAPER NO: 57 1– ACTIVELY PASSIVE WHITE PAPER NO. 57 OCTOBER 2013 RInsanity: doing the same thing over and over again and expecting

GREYCOURT WHITE PAPER NO: 57 – ACTIVELY PASSIVE

WHITE PAPER NO. 57

OCTOBER 2013

HAS THE PAST DECADE BEEN UNIQUE?

Active Manager Excess Returns

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Page 5: Active Manager Excess Returns · GREYCOURT WHITE PAPER NO: 57 1– ACTIVELY PASSIVE WHITE PAPER NO. 57 OCTOBER 2013 RInsanity: doing the same thing over and over again and expecting

GREYCOURT WHITE PAPER NO: 57 – ACTIVELY PASSIVE

WHITE PAPER NO. 57

OCTOBER 2013

TAXES TAKE AN EVEN GREATER BITE

CAVEAT EMPTOR

US LARGE CAP

US SMALL CAP

NON-US DEVELOPED

EMERGING MARKETS

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Page 6: Active Manager Excess Returns · GREYCOURT WHITE PAPER NO: 57 1– ACTIVELY PASSIVE WHITE PAPER NO. 57 OCTOBER 2013 RInsanity: doing the same thing over and over again and expecting

GREYCOURT WHITE PAPER NO: 57 – ACTIVELY PASSIVE

WHITE PAPER NO. 57

OCTOBER 2013

ACTIVE SIZING AND TAX MANAGEMENT DECISIONS

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Page 7: Active Manager Excess Returns · GREYCOURT WHITE PAPER NO: 57 1– ACTIVELY PASSIVE WHITE PAPER NO. 57 OCTOBER 2013 RInsanity: doing the same thing over and over again and expecting

GREYCOURT WHITE PAPER NO: 57 – ACTIVELY PASSIVE

WHITE PAPER NO. 57

OCTOBER 2013

WHICH ASSET CLASSES ARE BEST FOR ACTIVE MANAGEMENT?

CONCLUSIONS

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Page 8: Active Manager Excess Returns · GREYCOURT WHITE PAPER NO: 57 1– ACTIVELY PASSIVE WHITE PAPER NO. 57 OCTOBER 2013 RInsanity: doing the same thing over and over again and expecting

GREYCOURT WHITE PAPER NO: 57 – ACTIVELY PASSIVE

WHITE PAPER NO. 57

OCTOBER 2013

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Page 9: Active Manager Excess Returns · GREYCOURT WHITE PAPER NO: 57 1– ACTIVELY PASSIVE WHITE PAPER NO. 57 OCTOBER 2013 RInsanity: doing the same thing over and over again and expecting

GREYCOURT WHITE PAPER NO: 57 – ACTIVELY PASSIVE

WHITE PAPER NO. 57

OCTOBER 2013

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