Standard&Poor's Index Versus Active FundScorecard (SPIVA) has found that over the five year market cycle from 2004 to 2008, the S&P 500 outperformed 71.9% of actively managed large cap funds, the S&P MidCap 400outperformed 75.9% of mid cap funds, and the S&P SmallCap 600outperformed 85.5% of small cap funds.

These results are similar to that of the previous five year cycle from 1999 to2003.

Srikant Dash, global head of research & design at Standard&Poor's, said: "The belief that bear markets strongly favor active management is a myth. A majority of active funds in each of the nine domestic equity style boxes were out-performed by indices during the down markets of 2008. The bear market of2000 to 2002 showed similar outcomes."

SPIVA results show similar results for international equity and fixed income funds. Benchmark indices outperformed a majority of actively managed fixed income funds in all categories over a five-year horizon. Five year benchmark relative shortfall ranged from 2%-3% per annum for municipal bond funds to 1%-5% per annum for investment grade bond funds. Among international equity funds, indices outperformed a majority of actively managed non-U.S. equity funds over the past five years in the four categories studied, including emerging market funds.