Ben-Rephael, Azi; Kandel, Shmuel; Wohl, Avi - In: Journal of Financial and Quantitative Analysis 46 (2011) 02, pp. 585-603
Using a unique database of aggregate daily flows to equity mutual funds in Israel, we find strong support for the “temporary price pressure hypothesis” regarding mutual fund flows: Mutual fund flows create temporary price pressure that is subsequently corrected. We find that flows are...