We appoint active fund managers because we believe they have the skills to add value by outperforming the alternative - which is to do nothing and accept the average performance of the market i.e. invest in an index fund. Surely monitoring active managers’ performance is a good idea? That way, we can tell whether they are living up to our expectations and use this information to make decisions such as whether to persist. In other words, it would be delinquent of us not to carefully track the performance of our active managers. Right?

Let’s firs...