Just over 20 years have passed since the publication of Mark Carhart's landmark 1997 study
on mutual funds. Its conclusion—that the data did “not support the existence of skilled or …

We show that higher institutional ownership causes firms to pay more dividends. Our
identification relies on a discontinuity in ownership around Russell index thresholds. Our …

We consider an economy populated by institutional investors alongside standard retail
investors. Institutions care about their performance relative to a certain index. Our framework …

Benchmarking incentivizes fund managers to invest a fraction of their funds' assets in their
benchmark indexes, and such demand is inelastic. We construct a measure of inelastic …

We explore how mutual fund managers and investors react when the tradeoff between a
fund's sustainability and performance becomes salient. Following the introduction of …

We directly optimize the objectives of portfolio management via deep reinforcement learning-
--an alternative to conventional supervised-learning paradigms that routinely entail first-step …

Active equity funds care about fund size, affected by fund flows that obey a strong factor
structure with the common component responding to macroeconomic shocks. Funds hedge …

Compensation of mutual fund managers is paramount to understanding agency frictions in
asset delegation. We collect a unique registry-based dataset on the compensation of …

While research has uncovered an array of visible competitive dynamics, a strategic world of
competition lies beneath the surface that should also be theorized and empirically traced …

We develop three novel measures of the incentives of equity mutual funds to internalize the
price impact of their trading. We show that mutual funds with stronger incentives to …