In my previous article on this evergreen topic of debate for advisors and investors, we’ve analyzed all U.S. Large Cap Blend, Growth and Value mutual funds, along with the most recent – Who Wins the ‘Passive vs. Active’ Institutional Debate? Part 4: US Mid-, Small-Cap Blends — to see who wins the passive versus active debate. (See all the articles in this series on this landing page.)
In this comparison, we’ll venture into the broad Foreign Large Cap – better known as Large Cap International equities. Keep in mind I’m using Morningstar Direct as my source of screening, testing and research on return/expense data points.
So how does the Foreign Large Cap Blend space fare in the debate? My points of fund screening include the following:
- Morningstar Category = Foreign Large Blend
- Equity/Style Box (Long) = Large Blend
- Investment Area = Global Ex United States of America
- Fund Inception Date = < 12/31/1999 (For a true picture of a 15-year return period comparison, as anything shorter than 10 years, I believe, can easily be misinterpreted.)
- Fund Share Class = Institutional Only
To read the rest of my article, click HERE