Performance Summary
Active vs Active

Active vs Active: Comparison vs Morningstar mutual fund peer groups over rolling 3-year periods

AlphaCycle Indexes have built a track record of outperformance versus mutual fund peer groups as well, with consistent top quartile relative ranking while also avoiding the "performance failure" of fourth quartile results.

Rolling 3-year periods are one of the most effective means of distinguishing between "luck" and "skill". The chart below shows the results of over 800 rolling 3-year periods for the AlphaCycle Indexes versus Morningstar mutual fund peer groups:1,2

  • 50% of the rolling periods the AlphaCycle Indexes generated a top quartile ranking
  • 91% of the periods the AlphaCycle Indexes were above median
  • AlphaCycle Indexes have never had a bottom quartile relative ranking among mutual fund peer groups, avoiding the "apology zone" of underperformance 100% of the time.

 

 

1Sources: American Stock Exchange, Morningstar Direct, F-Squared Investments, and "The Difficulty of Selecting Superior Mutual Fund Performance", Thomas P. McGulgan, Journal of Financial Planning, 2/2006.

2F-Squared Investments DOES NOT GUARANTEE that the performance of the tracking models will in fact replicate the performance of the target AlphaCycle Index.