In addition, we implement a version of our strategies that allows investment in individual European stocks, rather than funds. Here, we nd that the investment strategies that use macroe- conomic variables to predict investment alphas signicantly outperform when they have access to funds (either with or without access to stocks) relative to when they have access only to stocks. Thus, macroeconomic variables help us to locate fund managers with skills, but they do not indi- cate that these fund managers are merely using the macrovariables themselves to time their stock purchases
