Mutual Fund Expense Ratios in Market Equilibrium

2007 ◽  
Author(s):  
Andrew (Jianzhong) Zhang
Keyword(s):  
Mutual Fund ◽  
Market Equilibrium ◽  
Fund Expense

scholarly journals The Strategic Setting Of Real Estate Mutual Fund Expense Ratios

2013 ◽  
Vol 29 (6) ◽  
pp. 1641
Author(s):  
Kevin Chiang ◽  
Zhenhua Rui ◽  
Craig Wisen ◽  
Xiyu Thomas Zhou
Keyword(s):  
Panel Data ◽  
Real Estate ◽  
Family Size ◽  
Mutual Fund ◽  
Superior Performance ◽  
Expense Ratio ◽  
Fund Families ◽  
Fund Expense

Real estate mutual fund expense ratios are analyzed using panel data comprising 1,130 observations. The results show that expense ratio is inversely related to share class assets, fund family size, and fund age. Conversely, the expense ratio is positively related to larger funds and fund families with superior performance. This result is interesting because individual fund classes with favorable performance are associated with lower expense ratios. The results are robust to common estimation methodologies.

Board compensation, holdings and mutual fund expense ratios

2013 ◽  
Vol 39 (3) ◽  
pp. 228-250
Author(s):  
Eric Fricke
Keyword(s):  
Mutual Fund ◽  
Regulatory Focus ◽  
Time Series Data ◽  
Series Data ◽  
Content Type ◽  
Fund Managers ◽  
Board Compensation ◽  
Rent Sharing ◽  
Fund Governance ◽  
Fund Expense

PurposeThe purpose of this paper is to examine how board compensation and holdings are related to mutual fund expense ratios. Previous studies find that compensation and expense ratios are positively correlated and argue that this relationship is potential evidence of rent sharing, whereby excessively compensated boards fail to negotiate with fund managers for lower shareholder fees.Design/methodology/approachUsing a dataset of US open‐end mutual funds, the author examines how geographic‐based salary data, director profession, director fund holdings and fund returns might explain the relationship between compensation and fees.FindingsThe results provide additional support for potential rent sharing between fund managers and directors and are robust to alternative measures of director compensation, fund sales loads, director holdings and fund returns.Research limitations/implicationsThe findings are limited by the sample size and the lack of time series data of the hand‐collected dataset. Data are collected from 598 funds in the year 2003.Practical implicationsThese findings suggest that mutual fund expense ratios may be affected by potential agency costs.Social implicationsMutual fund regulatory focus has been predominantly focused on the independence of board chairmen, but this study shows that compensation may also be a significant contributor to fund governance.Originality/valueThis study is unique in its recent focus on fund expense ratios and board compensation and examining potential explanations for this relationship.

Commodity Mutual Funds

2018 ◽  
Author(s):  
Gustavo Camilo
Keyword(s):  
Mutual Funds ◽  
Mutual Fund ◽  
Factor Model ◽  
Fund Performance ◽  
Active Management ◽  
Fund Flows ◽  
Mutual Fund Performance ◽  
Average Risk ◽  
Exchange Traded Funds ◽  
Fund Expense

The chapter describes the main institutional features of commodity mutual funds, including active management, the assets in which these funds invest, the process through which shares are bought and sold, the fees borne by investors, as well as the risks associated with investing in the funds. It also examines trends in fund flows and the correlations to commodity returns. Correlations to commodity returns are positive but lower than those of commodity exchange-traded funds that invest directly in underlying commodities, as opposed to commodity mutual funds, which invest largely in equities. Lastly, the chapter examines data on fees and net-of-expense commodity mutual fund performance between 1996 and 2016. The data show a decline in fund expense ratios over time, with the exception of large funds, negative average risk-adjusted performance using a four-factor model, and evidence consistent with lack of persistence in fund returns over the sample period.

The Effect of 12b-1 Plans on Mutual Fund Expense Ratios: A Note

1987 ◽  
Vol 42 (4) ◽  
pp. 1077-1082 ◽  
Author(s):  
STEPHEN P. FERRIS ◽  
DON M. CHANCE
Keyword(s):  
Mutual Fund ◽  
Fund Expense

On Practical Validity of Quantity Theory of Money, or How Much the Dogmatism of Monetary Authorities Costs

2008 ◽  
pp. 31-45 ◽  
Author(s):  
S. Glazyev
Keyword(s):  
Monetary Policy ◽  
Economic Development ◽  
Money Supply ◽  
Market Equilibrium ◽  
Static State ◽  
Quantity Theory ◽  
Monetary Authorities ◽  
State Of The Economy ◽  
Market Organization

The article critically considers basic postulates of quantity theory of money. It shows that they reflect the static state of the economy in abstract models of market equilibrium but do not prove true in actual economic processes. In contrast to monetarists’ view, prices can rise as well as fall even if other variables of the monetarist equation are stable. Thus it cannot be used for grounding monetary policy. The author comes to the conclusion on the dogmatism of Russian monetary authorities that seriously hinders the country’s economic development. He proposes to switch to market organization of money supply basing on regulation of the refinancing rate.

Contract institutions in the Russian economy: The sphere of state, municipal, and regulated procurement

2017 ◽  
pp. 93-110 ◽  
Author(s):  
O. Anchishkina
Keyword(s):  
Economic Growth ◽  
Theoretical Model ◽  
Market Structure ◽  
Market Equilibrium ◽  
Statistical Evidence ◽  
Market Model ◽  
Market Behavior ◽  
Database Analysis ◽  
Russian Economy ◽  
Contracting Model

The article synthesizes information on database analysis of state, municipal, and regulated procurement through which Russian contract institutions and the market model are investigated. The inherent uncertainty of quantity indicators on contracting activities and process is identified and explained. The article provides statistical evidence for heterogeneous market structure in state and municipal procurement, and big player’s dominance. A theoretical model for market behavior, noncooperative competition and collusion is proposed, through which the major trends are explained. The intrinsic flaws and failure of the current contracting model are revealed and described. This ineffectiveness is regarded to be not a limitation, but a challenge to be met. If responded to, drivers for economic growth and market equilibrium will be switched on.

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