Investing in mutual funds: the determinants of implied and actual net cash flows
comunitat-uji-handle:10234/9
comunitat-uji-handle2:10234/8648
comunitat-uji-handle3:10234/8649
comunitat-uji-handle4:
INVESTIGACIONMetadata
Title
Investing in mutual funds: the determinants of implied and actual net cash flowsDate
2017Publisher
Taylor & FrancisISSN
0003-6846; 1466-4283Bibliographic citation
DE MINGO-LÓPEZ, Diego Víctor; MATALLÍN-SÁEZ, Juan Carlos. Investing in mutual funds: the determinants of implied and actual net cash flows. Applied Economics, 2017, vol. 49, no 60, p. 5962-5970.Type
info:eu-repo/semantics/articlePublisher version
https://www.tandfonline.com/doi/abs/10.1080/00036846.2017.1366641Version
info:eu-repo/semantics/acceptedVersionSubject
Abstract
Estimating the fund investors’ demand plays an important role in the mutual fund management. In this line, mutual fund demand can be measured as the total net cash flows experienced by the fund during a period. Due ... [+]
Estimating the fund investors’ demand plays an important role in the mutual fund management. In this line, mutual fund demand can be measured as the total net cash flows experienced by the fund during a period. Due to a lack of the data for inflows and outflows in some countries and databases, many authors estimate the net cash flows using fund size and return information. This rough measure, although being a good approximation, implicitly assumes an error in its calculation. For a sample of 2985 US open-end funds, we find evidence that estimating this implied fund flows, the error generated is higher for smaller funds, funds with higher returns, and for those experiencing higher levels of inflows or outflows. This lack of precision leads to a distortion in the estimation of the effect of some determinants on the mutual fund demand, especially when longer periods are considered when constructing the net cash flows. [-]
Is part of
Applied Economics, 2017, vol. 49, no 60Investigation project
Ministerio de Economia y Competitividad / ECO2014-55221-P; Universitat Jaume I / PREDOC-2014-04Rights
© Taylor & Francis. This is an Accepted Manuscript of an article published by Taylor & Francis Group in Applied Economics on 21/08/2017, available online: https://doi.org/10.1080/00036846.2017.1366641.
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info:eu-repo/semantics/openAccess
http://rightsstatements.org/vocab/InC/1.0/
info:eu-repo/semantics/openAccess
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- COFIN_Articles [213]