research

Evaluating Performance Persistence in US Open-End Mutual Funds

Abstract

Performance persistence in US open-end mutual funds is a contentious issue. This paper examines the performance persistence by analyzing monthly returns of mutual funds under nine investment styles over the periods of January 1993 to December 2008. We find that there is some evidence to support the persistence of mutual fund performance. Albeit this, a zero-investment best-minus-worst strategy does outperform the market with a certain level of consistency

    Similar works