Only 1 in 5 Large-Cap Funds Beat S&P 500 as Big Tech Tightens Grip
Updated
Updated · Bloomberg · Jun 5
Only 1 in 5 Large-Cap Funds Beat S&P 500 as Big Tech Tightens Grip
3 articles · Updated · Bloomberg · Jun 5
Summary
Just 20% of large-cap core mutual funds have outperformed the S&P 500 so far this year, putting active managers on track for their weakest showing since 2021.
Technology megacaps are driving that gap, with their growing dominance making it harder for stock pickers to keep pace with the benchmark.
The underperformance underscores how concentrated market leadership has become, leaving diversified active funds struggling when they are underweight the biggest tech names.