Summary
Since the first publication of the S&P Indices versus Active (SPIVA) U.S. Scorecard in 2002, S&P Dow Jones Indices has been the de facto scorekeeper of the ongoing active versus passive debate.
The SPIVA India Scorecard compares the performance of actively managed Indian equity and bond mutual funds with their respective benchmark indices over 1-, 3-, 5- and 10-year investment horizons.
Mid-Year 2023 Highlights
In the first half of 2023, performance among Indian active managers varied across categories. The majority of Indian Equity Large-Cap funds failed to beat their benchmark, with 58% of actively managed funds underperforming the S&P BSE 100. Indian ELSS funds, on the other hand, had an excellent start to the year, with only 18% underperforming the S&P BSE 200.
Indian Equity Large-Cap Funds
- The S&P BSE 100 gained 7.1% in H1 2023, and 58.1% of active managers underperformed the benchmark over that period.
- Underperformance rates remained high over three- and five-year periods, at 86.2% and 92.9%, respectively.
- Active managers produced relatively better results over the 10-year period, with the underperformance rate dropping to 61.2%.
Indian ELSS Funds
- The S&P BSE 200 was up 6.2% in the first six months of 2023, and just 17.5% of Indian ELSS funds underperformed the index. Over the longer term, the underperformance rate rose, with 66.7% of funds underperforming the benchmark over the 10-year period.
- Indian ELSS funds achieved the second-highest long-term survival rate across all categories in our SPIVA India Scorecard, with 75.0% of them still surviving after 10 years.
