Chen, Hsiu-Lang; Gao, Sheldon; Hu, Xiaoqing - In: Journal of Banking & Finance 36 (2012) 4, pp. 1210-1223
Using a unique dataset, we document that only those closed funds for which no new fund is subsequently launched continuously deliver positive abnormal returns. This suggests the existence of an optimal fund scale. In spite of the potential diseconomies of scale, a non-trivial proportion of...