The investment in mutual funds has steadily increased in this decade. This growth has created a need for comprehensive and expandable financial decision support systems (DSS) that embody the knowledge of an expert in making investment decisions. This study illustrates the design and development of an intelligent, object-oriented decision support system: MFS -–Mutual Fund Selector. MFS takes int...

We hypothesize that trust plays an important role in affecting the activeness and effectiveness of the global mutual fund industry. Empirically, trust is positively associated with the activeness of domestic funds, whereas for internationals mutual funds conducting cross-border investments activeness is bounded by the trust of lowtrust countries. In both cases, trust-related active share delive...

In this paper, we apply a nonlinear methodology (Self-Organizing Maps and k-means algorithm) to classify mutual funds. This methodology allows us to identify which mutual funds did not follow the investment objectives established from its official category. We also propose an alternative classification, which has a lower rate of misclassified mutual fund. It achieves better performances in term...

This paper examines the interaction of idiosyncratic risk, liquidity and return across time in determining fund performance, as well as across investment style portfolios of European mutual funds. This study utilizes a unique data set including returns for equity mutual funds registered in six European countries. Overall, using monthly data, we find that both liquidity and idiosyncratic risk ar...

Maximizing the profit and minimizing the loss notwithstanding the trend of the market is always desirable in any investment strategy. The present research develops an investment strategy, which has been verified effective in the real world, by employing self-organizing map neural network for mutual funds tracking the trends of stock market indices according to macroeconomics indicators and weig...

Mutual fund sectors are one of the fastest growing sectors in Indian economy that have potential for sustained future growth. Mutual funds make saving and investing simple and affordable. Anybody with an investible surplus of as little as a few hundred rupees can invest in mutual funds. The Indian Mutual Fund industry has already opened up many exciting investment opportunities to Indian invest...

To measure the investment performance of a portfolio manager who may engage in market timing, it is necessary to consider both market level and volatility timing behavior as well as security selection ability. We develop and implement measures that accommodate all three components. A well specified measure of performance is the sum of the three components of ability. Estimating the measures on ...

Maximizing the profit and minimizing the loss notwithstanding the trend of the market is always desirable in any investment strategy. The present research develops an investment strategy, which has been verified effective in the real world, by employing self-organizing map neural network for mutual funds and tracking the trends of stock market indices according to macro-economy indicators, weig...

We find significant relations between active mutual fund portfolio holdings and executive compensation, which appear to be largely driven by mutual fund investment styles rather than monitoring behaviour. Aggressive growth fund holdings are associated with performance pay, while income fund holdings are negatively related. We also find that mutual fund holdings are insensitive to changes in exe...

This study aimed to examine the performance evaluation and persistence of equity mutual funds when the market reverses from a bull market to a bear market. We also attempt to find the appropriate performance evaluation indicators when funds exhibit performance reversal. Such an indicator will be of great assistance to investors in making investment decisions. Therefore, this study investigates ...