Publicação

Do fund flows moderate persistence? Evidence from a global study

Ver documento

Detalhes bibliográficos
Resumo:We investigate whether fund flows eliminate future abnormal performance and persistence as in Berk and Green (2004) using a sample of open-end domestic equity mutual funds from 32 countries. We show that flows have only a small moderating effect on persistence even in the United States, where fund industry conditions most closely resemble the Berk and Green assumptions. In fact, we find that most countries do not have decreasing returns to scale in fund management and, as a result, flows have limited impact on mutual fund performance persistence.
Autores principais:Miguel, A.
Assunto:Mutual fund persistence Fund flows Returns to scale Berk and Green model
Ano:2021
País:Portugal
Tipo de documento:artigo
Tipo de acesso:acesso aberto
Instituição associada:ISCTE
Idioma:inglês
Origem:Repositório ISCTE
Descrição
Resumo:We investigate whether fund flows eliminate future abnormal performance and persistence as in Berk and Green (2004) using a sample of open-end domestic equity mutual funds from 32 countries. We show that flows have only a small moderating effect on persistence even in the United States, where fund industry conditions most closely resemble the Berk and Green assumptions. In fact, we find that most countries do not have decreasing returns to scale in fund management and, as a result, flows have limited impact on mutual fund performance persistence.