We propose an enhanced measure of optimal actively-managed mutual fund size that allows optimal fund size to vary over time. Using the new measure We find that value creation/destruction is evenly balanced between funds whose funding status is greater than (overfunded) or less than (underfunded)...

This paper describes how macroeconomic factors are used to aid in the decision-making process of allocating capital to hedge fund managers (applicable to traditional managers as well). A comparison is made between traditional portfolio construction methods and the Dynamic Asset Allocation...

We develop a dynamic model to study the interaction between obfuscation and investor sophistication in retail financial markets. Taking into account different learning mechanisms within the investor population, we characterize the optimal timing of obfuscation for a profit-maximizing monopolist....