For the second time, Legg Mason TFI (LM Fund Management Company) was granted the highest “Super Alpha” assessment for the best performing Polish equity fund management team in the ranking prepared by the Forbes magazine. According to the authors of the ranking: “The leading position of the Legg Mason Equity Fund is no surprise”. The Legg Mason Equity Fund (Legg Mason Akcji FIO) was ranked the second best among the elite peer group of the Polish equity funds that have continuously generated returns above the WIG Index (Warsaw Stock Exchange Index) level for the last three years.
The skills of managers and the performance of funds were examined with a focus on the active investing of assets contributed by investors to funds (as opposed to passive portfolios). The measure employed to assess the funds and their management teams was Jensen’s alpha calculated on the basis of monthly investment performance for the last 3 years.
“It is obvious that a stable management team is the safest situation from a customer’s perspective. It minimizes the risk of unpleasant surprises, and its historical performance may be used as the basis for future projections. Tomasz Jedrzejczak and his Legg Mason team are the best example: they have been working together, and with the same investment company, continuously for the last 10 years. This year both Tomasz and his team deserved (again) the highest assessment for their actual performance. In this case, the principles of recurring funds performance and of the importance of managers’ assessments for investors in the fund selection process proved correct”. (from Forbes)
The Forbes rating was prepared on the basis of an Investor-SEENDICATOR measurement – a joint venture of Forbes and SEENDICATE that allows assessing funds in terms of performance and quality of management. Seendicate (Economic Expert Syndicated) is a group of economic advisors established by lecturers from the Warsaw School of Economics (SGH).