Lee, Charles M C; Shleifer, Andrei; Thaler, Richard H - In: Journal of Finance 46 (1991) 1, pp. 75-109
This paper examines the proposition that fluctuations in discounts of closed-end funds are driven by changes in individual investor sentiment. The theory implies that discounts on various funds move together, that new funds get started when seasoned funds sell at a premium or a small discount,...