Organizational design affects performance via coupled search processes. At low frequency, managers search for appropriate organizational designs. At higher frequency, managers use designs to search for high-performing operational choices. The two searches are coupled: organizational design molds...

Using a dataset comprising almost all equity and bond funds in existence in 1996, we find that fund providers shift advertising and distribution expenses via so-called 12b-1 fees onto fund shareholders. It is further shown that bonds funds with 12b-1 fees are more risky, while having similar...