Pure persistence is the best performance tool

Last month we examined the literature on performance persistence and came to the conclusion that pure persistence is the best selection tool to use when analysing fund performance. In the final article of our series we explain why and look at some of the methods available.Hurst componentWhile relative persistence tests require testing a sample of funds a pure persistence test focuses on single fund. Relative persistence tests indicate persistence of the outperformance or underperformance rel