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A tracker can cost as little as 0.15pc a year, while an actively managed fund will charge nearer 1.7pc. So, in effect, a fund manager needs to find an extra 1.45pc return every year to justify the higher charges. Research shows many fail to achieve this on a regular basis.
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While the government expects to revise down its full-year 2014 growth forecast of 1.2 percent, it hopes the marginal rate will be faster than that by mid-year -- not least because it will have started releasing 20 billion euros in tax breaks to businesses in return for hiring new employees.
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