MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
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MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Tuesday, July 16, 2002 The Tortoise and the Hare It all began last June in a contest to see which would outdo the other: growth or value. Now, Morningstar has released the performance of its Tortoise (value) and Hare (growth) stock portfolios. The Tortoise portfolio returned nearly 20 percent for the 12-month period ending June 17, 2002, outperforming the S&P 500 Index by 34 percentage points, and beating more than 99 percent of large-cap blend mutual funds during the same period, according to the firm. The growth-oriented Hare portfolio lost 19 percent of its value from June 18, 2001 to June 17, 2002, underperforming the S&P 500 Index by almost 5 percentage points. The average domestic-growth fund lost nearly 20 percent for 12 months ending June 17, 2002. The NASDAQ fell nearly 22 percent in the same period. Combined, the two Morningstar portfolios returned 0.39 percent from June 18, 2001 to June 17, 2002, and beat the S&P 500 Index by nearly 15 percentage points. The S&P 500 Index was down 14 percent during the same period, according to Morningstar data. "Just as a rising tide lifts all yachts, a receding tide sinks them," stated Mark Sellers, editor of Morningstar StockInvestor and manager of both portfolios. "Since last June, when we introduced the Tortoise and the Hare portfolios, value and growth stocks have diverged widely. Not surprisingly, so have the performances of the Tortoise and the Hare. Still, we managed to outperform the averages during a bear market and we're pleased with the overall performance of the portfolios." Both portfolios had an average of 15 holdings each. Printed from: MFWire.com/story.asp?s=3092 Copyright 2002, InvestmentWires, Inc. All Rights Reserved |