Luo, Deming; Yao, Zhongwei - 2022
This study examines the effect of economic policy uncertainty on mutual fund risk-shifting. Using Chinese mutual fund … data from 2006 to 2020, we find that managers increase risk when uncertainty rises. A one-standard-deviation increase in … EPU is associated with an 0.27- to 0.55-standard-deviation increase in risk-shifting. Managers' tendency to shift risk …