Ferreira, Miguel A.
[Verfasser:in]
;
Keswani, Aneel
[Sonstige Person, Familie und Körperschaft];
Miguel, Antonio F.
[Sonstige Person, Familie und Körperschaft];
Ramos, Sofia Brito
[Sonstige Person, Familie und Körperschaft]
The Flow-Performance Relationship Around the World
Anmerkungen:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments September 17, 2010 erstellt
Beschreibung:
We use a new dataset to study how mutual fund flows depend on past performance across 28 countries. We find that flows are convex with past performance, creating an incentive for managers to take excessive risk. The flow-performance convexity is less pronounced in countries with higher levels of economic, financial, and mutual fund industry development. This is because mutual fund investors in developed countries are more sophisticated and face lower costs of participating in the mutual fund industry. Higher country-level convexity is positively associated with higher levels of risk taking by fund managers