Performance, Timing and Persistence of Actively Managed UK Equity Unit Trusts and OEICs

This paper investigates the performance, timing and persistence of actively managed UK equity Unit Trusts and OEICs between January 2005 and December 2010. Performance of Unit Trusts and OEICs are measured using the one factor model (Jensen’s alpha) and Carhart’s four factor model. The results show...

Full description

Bibliographic Details
Main Author: Popat, Chirag
Format: Dissertation (University of Nottingham only)
Language:English
Published: 2012
Online Access:https://eprints.nottingham.ac.uk/25943/
_version_ 1848793082783334400
author Popat, Chirag
author_facet Popat, Chirag
author_sort Popat, Chirag
building Nottingham Research Data Repository
collection Online Access
description This paper investigates the performance, timing and persistence of actively managed UK equity Unit Trusts and OEICs between January 2005 and December 2010. Performance of Unit Trusts and OEICs are measured using the one factor model (Jensen’s alpha) and Carhart’s four factor model. The results show that on average Unit Trusts and OEICs are not significantly beating the market, but a few funds do have significant positive alphas; hence, are outperforming the market. Treynor and Mazuy model and Henriksson and Merton model are used to assess the market timing ability of fund managers, but no evidence of this ability is found in either measure. Persistence in performance is measured over two periods; January 2005 – December 2007 and January 2008 – December 2010. Overall Unit Trust and OEICs do not show evidence of overall persistence in performance over these periods, and there is no evidence of Unit Trusts and OEICs consistently beating the market. However, some evidence of persistence in bottom performing funds is found.
first_indexed 2025-11-14T18:54:39Z
format Dissertation (University of Nottingham only)
id nottingham-25943
institution University of Nottingham Malaysia Campus
institution_category Local University
language English
last_indexed 2025-11-14T18:54:39Z
publishDate 2012
recordtype eprints
repository_type Digital Repository
spelling nottingham-259432017-10-19T13:10:02Z https://eprints.nottingham.ac.uk/25943/ Performance, Timing and Persistence of Actively Managed UK Equity Unit Trusts and OEICs Popat, Chirag This paper investigates the performance, timing and persistence of actively managed UK equity Unit Trusts and OEICs between January 2005 and December 2010. Performance of Unit Trusts and OEICs are measured using the one factor model (Jensen’s alpha) and Carhart’s four factor model. The results show that on average Unit Trusts and OEICs are not significantly beating the market, but a few funds do have significant positive alphas; hence, are outperforming the market. Treynor and Mazuy model and Henriksson and Merton model are used to assess the market timing ability of fund managers, but no evidence of this ability is found in either measure. Persistence in performance is measured over two periods; January 2005 – December 2007 and January 2008 – December 2010. Overall Unit Trust and OEICs do not show evidence of overall persistence in performance over these periods, and there is no evidence of Unit Trusts and OEICs consistently beating the market. However, some evidence of persistence in bottom performing funds is found. 2012 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/25943/1/Performance%2C_Timing_and_Persistence_of_Actively_Managed_UK_Equity_Unit_Trusts_and_OEICs.pdf Popat, Chirag (2012) Performance, Timing and Persistence of Actively Managed UK Equity Unit Trusts and OEICs. [Dissertation (University of Nottingham only)] (Unpublished)
spellingShingle Popat, Chirag
Performance, Timing and Persistence of Actively Managed UK Equity Unit Trusts and OEICs
title Performance, Timing and Persistence of Actively Managed UK Equity Unit Trusts and OEICs
title_full Performance, Timing and Persistence of Actively Managed UK Equity Unit Trusts and OEICs
title_fullStr Performance, Timing and Persistence of Actively Managed UK Equity Unit Trusts and OEICs
title_full_unstemmed Performance, Timing and Persistence of Actively Managed UK Equity Unit Trusts and OEICs
title_short Performance, Timing and Persistence of Actively Managed UK Equity Unit Trusts and OEICs
title_sort performance, timing and persistence of actively managed uk equity unit trusts and oeics
url https://eprints.nottingham.ac.uk/25943/