How Many Mutual Funds Constitute a Diversified Mutual Fund Portfolio?

The way to portfolio management is to have at every that you hold quickly too. The best cash supervisors on the world are powerful in light of the way that they have a request to direct cash and they have a game plan to contribute. What is needed is a sound academic framework for settling on decisions and the ability to keep sentiments from expending that structure." Most people contribute to finishing a target, the most generally perceived being retirement and school. Making a game plan upgrades your conceivable outcomes of advancement, despite for shorter-term funds destinations like a house in advance portion, excursion or auto. Right when contributing for a target, consider these requests. At the point when will I require my speculation, the amount of will I require, what is the best record sort, assessable or cost-advantaged. Answers to these request will help choose the measure of danger you can take, the sum you need to contribute and what kind of record you should consider, after we have manufactured your portfolio of mutual funds, we have to know how to look after it. Here, we discuss how to deal with a mutual-fund portfolio by strolling through four basic techniques.

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How Many Mutual Funds Constitute a Diversified Mutual Fund Portfolio?

Financial Analysts Journal ◽

10.2469/faj.v53.n2.2070 ◽

1997 ◽

Vol 53 (2) ◽

pp. 37-46 ◽

Cited By ~ 43

Author(s):

Edward S. O'Neal

Keyword(s):

Mutual Funds ◽

Mutual Fund ◽

Fund Portfolio

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A Mutual Fund Investment Method Using Fruit Fly Optimization Algorithm and Neural Network

Applied Mechanics and Materials ◽

10.4028/www.scientific.net/amm.571-572.318 ◽

2014 ◽

Vol 571-572 ◽

pp. 318-325 ◽

Cited By ~ 3

Author(s):

Tsu Hua Huang ◽

Yung Ho Leu

Keyword(s):

Neural Network ◽

Mutual Funds ◽

Optimization Algorithm ◽

Mutual Fund ◽

Fruit Fly ◽

Fruit Fly Optimization Algorithm ◽

Fruit Fly Optimization ◽

Asset Value ◽

Net Asset Value ◽

Fund Portfolio

This paper presents a method to construct a profitable portfolio of mutual funds for investors. This method comprises two stages. In the first stage, the DEA, Sharpe and Treynor indices of mutual funds and the monthly rates of return (ROR) of mutual funds are used to select a mutual fund portfolio. In the second stage, the linear regression model, the Fruit Fly Optimization Algorithm (FOA) and the General Regression Neural Network (GRNN) are used to construct a prediction model for the net asset values of each of the constituent mutual funds of the portfolio. The trade decision of a selected mutual fund is then made based on the rise or fall of its net asset value. The empirical results showed that, compared to other combinations, the combination of using Sharpe index for portfolio selection and the GRNN optimized with FOA for net asset value prediction offered the best accumulated return rate for the mutual fund portfolio investment.

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A Study on Factors Influencing Mutual Fund Portfolio Performance

International Journal of Corporate Finance and Accounting ◽

10.4018/ijcfa.2018070101 ◽

2018 ◽

Vol 5 (2) ◽

pp. 1-11

Author(s):

Medhanie Mekonnen ◽

Roger Mayer ◽

Wen-Wen Chien

Keyword(s):

Mutual Funds ◽

Mutual Fund ◽

Portfolio Performance ◽

Management Turnover ◽

Performance Expectations ◽

Equity Mutual Funds ◽

Portfolio Managers ◽

Fund Portfolio ◽

The Relationship ◽

Annual Fund

Mutual fund portfolio managers do not always meet performance expectations, resulting in loss of capital reserves. Out of 3,612 U.S. based open-ended mutual funds, the risk-adjusted performance of 2,890 (80%) failed to meet the S&P 500 performance between the year 2006 to 2016. Grounded in Markowitz's modern portfolio theory, this correlational study examined the relationship between mutual fund class type, portfolio turnover, fund longevity, management turnover, and annual fund risk-adjusted performance. Archival data were collected from 88 U.S. based equity mutual funds companies. The results of the multiple regression analysis indicated the model as a whole was able to significantly predict annual fund risk-adjusted performance for the 5-year period ending 2016, F (4, 83) = 3.581, p = .010, R2 = .147. In the final model, mutual fund class type and portfolio turnover were statistically significant with mutual fund class type (ß= .249, t = 2.302, p = .024) accounting for a higher contribution to the model than portfolio turnover (ß = .238, t = 2.312, p = .023).

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Analysis of The Effect of Macroeconomics On Net Assets Value (NAV) of Sharia Mutual Funds In Indonesia

International Journal of Islamic Business and Economics (IJIBEC) ◽

10.28918/ijibec.v4i1.1527 ◽

2020 ◽

Vol 4 (1) ◽

pp. 11

Author(s):

Hilyatun Nafisah ◽

Supriyono Supriyono

Keyword(s):

Exchange Rate ◽

Interest Rates ◽

Mutual Funds ◽

Mutual Fund ◽

Stock Prices ◽

Random Effect ◽

Asset Value ◽

Net Asset Value ◽

Fund Portfolio ◽

The Relationship

Net Asset Value (NAV) is a measure of investment performance for sharia mutual funds derived from the entire value of the mutual fund portfolio fewer liabilities. This research aims to analyze the effect of the rupiah exchange rate, inflation, Jakarta Islamic Index (JII) and Bank Indonesia Sharia Certificate (SBIS) on Net Asset Value (NAV) of Sharia Mutual Funds. The object in this research consisted of 5 companies registered with the Financial Services Authority (OJK) from 2012-2019. Panel data regression analysis was used to test the hypothesis in this study. A random effect is used to determine the differences in the effect. The result of this study concluded that rupiah exchange rate, inflation and JII and SBIS effect on NAV of sharia mutual funds simultaneously. Partially, an unstable rupiah exchange rate is considered to have an impact on the company's production factors and affect the validity of the stock price; This causes investments no longer be attractive to investors, thereby reducing the value of investments that have an impact on the declining mutual fund NAV. Inflation decreases the real income of people with fixed income will also reduce the value of wealth in the form of money so that people will prefer to invest their money in the form of real assets that will result in reduced investment in the financial and capital markets and lower the NAV value of Islamic Mutual Funds. JII describes the performance of stocks which are one of the portfolios of sharia mutual funds. If the JII index value rises, then the increase in the portfolio of sharia mutual funds that share type will also rise which will have an impact on the increase in the nett asset value of sharia mutual funds. SBIS does not affect the Sharia Mutual Funds NAV. The relationship between SBIS and the Sharia Mutual Fund NAV as well as the relationship between interest rates and stock prices is negative or in the opposite direction. If interest rates rise at an adequate level, investors will try to move their investments from stocks to deposits.

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Performance Comparison of Mutual Funds and Sharia Mutual Funds

Bukhori: Kajian Ekonomi dan Keuangan Islam ◽

10.35912/bukhori.v1i1.600 ◽

2021 ◽

Vol 1 (1) ◽

pp. 65-77

Author(s):

Kharisma Novita Sari ◽

◽

Moch Sulchan ◽

Mimah Mutamimah ◽

◽

...

Keyword(s):

Mutual Funds ◽

Portfolio Management ◽

Capital Market ◽

Mutual Fund ◽

Secondary Data ◽

Performance Comparison ◽

Investment Performance ◽

Monthly Data ◽

Significant Difference ◽

Fund Portfolio

Abstract Purpose: This study aimed to examine the differences in the performance of Islamic mutual funds with mutual funds based on the Sharpe and Jensen method for the 2010-2020 period in the Indonesian Capital Market. Research Methodology: The study uses a quantitative approach to the type of comparative research. The data used is secondary data from OJK. The population used in this study is the capitalization of sharia mutual fund performance data with mutual funds, the period 2010-2020 (monthly data) in the Indonesian Capital Market. Data analysis was carried out using the Sharpe and Jensen method and the Manova test with the help of the SPSS statistical program. Results: The results of this study indicate that there is no significant difference between the performance of Islamic mutual funds and mutual funds with the Sharpe and Jensen method. This shows that the return on the performance of Islamic mutual funds and mutual funds based on the Sharpe and Jensen method received will be relatively the same. Investment performance in Mutual Fund portfolio management is reflected in the net asset value (NAV). Limitations: This research has been attempted and carried out in accordance with scientific procedures. However, it still has limitations; this research is limited to 2010 – 2020 with monthly data. Contribution: This research implies that this research can better contribute to the general public, academics, and investors to understand the performance of capital market investment instruments before they invest.

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Another Look at Portfolio Turnover and Mutual Fund Performance

International Journal of Economics and Finance ◽

10.5539/ijef.v9n10p95 ◽

2017 ◽

Vol 9 (10) ◽

pp. 95

Author(s):

Confidence W. Amadi ◽

Felicia Y. Amadi

Keyword(s):

Regression Analysis ◽

Mutual Funds ◽

Mutual Fund ◽

Fund Performance ◽

Mutual Fund Performance ◽

Portfolio Returns ◽

Independent Variable ◽

One Year ◽

The One ◽

Fund Portfolio

The objective of this study was to investigate the factors that correlated with mutual fund portfolio turnover using the variables that are associated with studies on portfolio turnover. Most studies on portfolio turnover considered it as an independent variable in explaining the performance of mutual funds. We take a different approach and treat turnover as the dependent variable. Our regression analysis show that the portfolio manager’s tenure explains the variability in portfolio turnover. We also find that the one-year portfolio returns and assets under management strongly correlates with portfolio turnover.

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The Long and the Short: Portfolio Turnover Ratios & Mutual Fund Investment Time Horizons

10.31228/osf.io/gvt6a ◽

2018 ◽

Author(s):

Anne M. Tucker

Keyword(s):

Mutual Funds ◽

Mutual Fund ◽

Investment Strategy ◽

Fund Flows ◽

Data Set ◽

Indirect Measure ◽

Time Horizons ◽

Fund Investment ◽

Short Termism ◽

Fund Portfolio

Mutual fund portfolio turnover ratios (PTR) are at the center of the short-termism debate, which criticizes corporate maneuvers taken to prop up near-term earnings at the expense of long-term, value focused investments and policies. Scholars and policymakers often rely on portfolio turnover ratios to argue that mutual fund short-termism, as measured by the PTR, is increasing and infecting operating company time horizons. This article answers two main questions central to discerning mutual funds’ role in the short-termism debate. The first is, how long, on average do U.S. registered mutual funds hold onto their assets? The second is, how good of a measure is the PTR at approximating mutual fund holding patterns in light of criticisms that the PTR is an indirect measure, does not reflect fund flows, and excludes investment strategy considerations?Using a unique data set of U.S. registered mutual funds from 2005–15, this Article finds that mutual fund investment time horizons, as measured by portfolio turnover ratios, did not decline during 2005–15. This finding holds for all major categories of mutual funds, including index funds and actively managed funds and produced an average holding period in the range of fifteen to seventeen months. Based on this analysis, scholars and policymakers may think of mutual fund investment time horizons as short, but not shortening. These findings are confirmed by three alternative measurements of time horizons: Duration, Churn Rates, and Modified Portfolio Turnover. Consistent across-measure results mitigate PTR criticisms as a rough estimate of time horizons and endorse its continued use in SEC reporting. These observations also validate policymakers’ and scholars’ use of mutual fund PTRs in legal and policy debates, and contribute current, empirical evidence adding nuance to claims of mutual fund short-termism.Citation: Anne M. Tucker, The Long and the Short: Portfolio Turnover Ratios & Mutual Fund Investment Time Horizons, 43 J. Corp. L. 581 (2018).

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