This article examines the performance of mortgage-backed securities (MBS) mutual funds from January 1987 to June 1995. As a group, the MBS mutual funds underperform both the "Salomon and Lehman Brothers" MBS market benchmarks. The relative underperformance of the MBS mutual funds is due to poor...

We examine the performance of real estate mutual funds during January 1991-December 1997. As a group, the sampled funds outperformed the "Wilshire Real Estate Securities Index" on a risk-adjusted basis by more than 5 percentage points annually. We attempt to explain these surprising findings by...