Persistence of alpha in South African general equity unit trusts

dc.contributor.advisorWest, Darron
dc.contributor.authorHoch, Rowan Andrew
dc.date.accessioned2018-07-18T11:28:47Z
dc.date.available2018-07-18T11:28:47Z
dc.date.issued2015
dc.date.updated2018-07-11T09:47:28Z
dc.description.abstractThe ability of active managers to produce consistent benchmark-beating returns is a topic that has been widely debated with increasing interest over the past decade. The majority of previous studies in which persistence of performance is tested consider a fund's ability to maintain its relative ranking over various time periods amongst its peer group. This study adds to the literature by considering the persistence of alpha, where alpha is defined as the out- or under-performance of a market-related benchmark. Persistence of alpha for South African general equity unit trusts is tested over six-month, one-, two- and three-year formation and holding periods using a similar methodology to that of Collinet & Firer (2003). Alpha is found to persist most prominently in tests of one-year periods, with other period lengths yielding less significant results. Additionally, using the methodology of Malkiel (1995), certain funds which have demonstrated statistically significant persistent alpha over various periods are identified.
dc.identifier.apacitationHoch, R. A. (2015). <i>Persistence of alpha in South African general equity unit trusts</i>. (). University of Cape Town ,Faculty of Commerce ,Finance and Tax. Retrieved from http://hdl.handle.net/11427/28316en_ZA
dc.identifier.chicagocitationHoch, Rowan Andrew. <i>"Persistence of alpha in South African general equity unit trusts."</i> ., University of Cape Town ,Faculty of Commerce ,Finance and Tax, 2015. http://hdl.handle.net/11427/28316en_ZA
dc.identifier.citationHoch, R. 2015. Persistence of alpha in South African general equity unit trusts. University of Cape Town.en_ZA
dc.identifier.ris TY - Thesis / Dissertation AU - Hoch, Rowan Andrew AB - The ability of active managers to produce consistent benchmark-beating returns is a topic that has been widely debated with increasing interest over the past decade. The majority of previous studies in which persistence of performance is tested consider a fund's ability to maintain its relative ranking over various time periods amongst its peer group. This study adds to the literature by considering the persistence of alpha, where alpha is defined as the out- or under-performance of a market-related benchmark. Persistence of alpha for South African general equity unit trusts is tested over six-month, one-, two- and three-year formation and holding periods using a similar methodology to that of Collinet &amp; Firer (2003). Alpha is found to persist most prominently in tests of one-year periods, with other period lengths yielding less significant results. Additionally, using the methodology of Malkiel (1995), certain funds which have demonstrated statistically significant persistent alpha over various periods are identified. DA - 2015 DB - OpenUCT DP - University of Cape Town LK - https://open.uct.ac.za PB - University of Cape Town PY - 2015 T1 - Persistence of alpha in South African general equity unit trusts TI - Persistence of alpha in South African general equity unit trusts UR - http://hdl.handle.net/11427/28316 ER - en_ZA
dc.identifier.urihttp://hdl.handle.net/11427/28316
dc.identifier.vancouvercitationHoch RA. Persistence of alpha in South African general equity unit trusts. []. University of Cape Town ,Faculty of Commerce ,Finance and Tax, 2015 [cited yyyy month dd]. Available from: http://hdl.handle.net/11427/28316en_ZA
dc.language.isoeng
dc.publisher.departmentFinance and Tax
dc.publisher.facultyFaculty of Commerce
dc.publisher.institutionUniversity of Cape Town
dc.subject.otherFinancial and Risk Management
dc.titlePersistence of alpha in South African general equity unit trusts
dc.typeMaster Thesis
dc.type.qualificationlevelMasters
dc.type.qualificationnameMCom
uct.type.filetypeText
uct.type.filetypeImage
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