In Thursday's Wall Street Journal Fund Track column, Sam Mamudi picks up on a Morningstar study which found that, in several cases where an active fund trumps its index on an absolute basis, the extra risk it took didn't justify the returns.

Although roughly half of actively managed funds outperformed their Morningstar indexes over the past three years, 37 percent outperformed on a risk, size- and style-adjusted basis. Morningstar found similar figures for five and 10-year returns.

"It's not enough to beat an index in a way that [assumes more risk]," the Journal quoted Travis Pascavis, director of equity indexes at Morningstar, as saying.

Others quoted in the article include Morningstar director of research Russ Kinnel and Matt Hougan, senior editor of the Journal of Indexes.  

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