The question of whether and how mutual fund managers provide valuable services for their
clients motivates one of the largest literatures in finance. One candidate explanation is that …

We derive a parsimonious rational model of active portfolio management that reproduces
many regularities widely regarded as anomalous. Fund flows rationally respond to past …

We investigate the role that nonportfolio fund differentiation and information/search frictions
play in creating two salient features of the mutual fund industry: the large number of funds …

We investigate whether mutual fund families strategically transfer performance across
member funds to favor those more likely to increase overall family profits. We find that “high …

We examine intrafirm competition in the mutual-fund industry. We test the hypothesis that
fund managers within mutual-fund families compete with each other in a tournament. Our …

We argue that active management's popularity is not puzzling despite the industry's poor
track record. Our explanation features decreasing returns to scale: As the industry's size …

This is a first attempt to study how the structure of the industry affects mutual fund behavior. I
show that industry structure matters; the mutual fund families employ strategies that rely on …

We study how information flows within financial conglomerates by analyzing the relations
between mutual funds and banks that belong to the same financial group. We investigate the …

This article examines competition and investor behavior in the mutual fund industry for the
universe of US mutual funds during 1976–2009. Over this period, industry assets increased …

This study investigates individual investors' bias towards nearby companies. Using data
from a large US discount brokerage, we find that individual investors tend to invest in …