The updated New Total Expense Ratio is designed to categorize properly each type of mutual fund fee and expense. The purpose is to provide normative transparency of disclosure to serve the primary interests of fund shareholders. The current regulatory scheme of disclosure is short on...

This article explores the relationships of mutual fund advertising and investor skill in making fund choices. Some key takeaways can be drawn from our analysis of the four factors affecting the relationship between mutual fund advertising and investors' fund choices, and whether they lead...

The study reviews important interactions between mutual funds and individual investors in choosing equity mutual funds. An important question is why both sophisticated and unsophisticated investors continue to invest in actively managed funds that generally underperform. Actively managed funds...

It is not enough to say that particular mutual funds have very excessive and most excessive expense ratios. In addition, these high cost funds are associated with negative portfolio characteristics that include more risky and less diversified portfolios, higher trading costs and lower earnings....

The Investment Company Act of 1940 states that the interests of shareholders are compromised when mutual funds are operated in the interest of fund advisers. In this regard, one of the Act's major objectives is to ensure that investors receive adequate and accurate information.This study focuses...

Baker and Wurgler [2007] take a “top down” approach to behavioral finance and stock market. Investor sentiment is taken to be exogenous and the focus is on its empirical effects. Sentiment is measurable and its waves have clearly discernable, important, and regular effects on firms and the...

The literature has been unable to provide a definitive model of the sources and nature of mutual fund scale economies and diseconomies. This study provides findings on the nature and sources of fund economies and diseconomies with respect to expenses, size, performance, trading, and numerous...

Each of the four primers has "50 Key Concepts" deemed essential to understanding the particular subject. The primer topics include mutual funds, incorporation, real estate, and reading annual reports. The mutual funds booklet includes total return, performance evaluation, 12b-1 fees, beta and...

This study examines stated return preferences of individual investors. First, evidence suggests investors sort themselves into groups by return preferences. Identifiable, systematic, and statistically significant differences exist across investor groups.There appear to be at least two investor...