“The big money doubted Apple Inc. this year. Oops,” Lu Wang and Oliver Renick report for Bloomberg News.
“Aversion to the iPhone maker is turning out to be one of the worst blunders in 2014 for money managers, who are trailing benchmark indexes by the most in almost a decade,” Wang and Renick report. “Shares of the world’s largest company rose four times more than the Standard & Poor’s 500 Index as Chief Executive Officer Tim Cook’s product plans eased concern over the company’s future growth.”
“Among some 278 funds that are benchmarked to the S&P 500 and have at least $500 million in assets, only a fifth hold Apple shares more than their representation in the index, according to latest regulatory filings compiled by Bloomberg,” Wang and Renick report. “These funds have returned an average 8 percent this year, compared with 6.1 percent from those that have no stake.”
Read more in the full article here.