IDEAS home Printed from https://ideas.repec.org/a/eee/pacfin/v82y2023ics0927538x23002652.html
   My bibliography  Save this article

The journey is the reward: A study of corporate site visits and mutual fund performance

Author

Listed:
  • Zhuang, Zhuang
  • Hong, Xin
  • Yao, Juan

Abstract

Institutional investors often visit corporate sites to conduct first-hand assessments of firms' business operations and management quality. We find that corporate site visits contribute significantly to mutual fund performance in China. Our results indicate that corporate site visiting is an important part of mutual funds' stock selection process. Fund managers utilize these visiting activities as a verification channel to affirm their selection of outperforming stocks. The impact on fund performance is stronger when funds are active, have more concentrated equity holdings or invest in small-cap stocks. Performance enhancement is more profound when mutual funds visit firms with high information disclosure quality, and when fund managers have an alumni connection with corporate executives.

Suggested Citation

  • Zhuang, Zhuang & Hong, Xin & Yao, Juan, 2023. "The journey is the reward: A study of corporate site visits and mutual fund performance," Pacific-Basin Finance Journal, Elsevier, vol. 82(C).
    • Handle: RePEc:eee:pacfin:v:82:y:2023:i:c:s0927538x23002652
    DOI: 10.1016/j.pacfin.2023.102194
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0927538X23002652
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.pacfin.2023.102194?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Keywords

    Mutual fund; Corporate site visits; Fund performance; Fund-holding;
    All these keywords.

    JEL classification:

    • G12 - Financial Economics - - General Financial Markets - - - Asset Pricing; Trading Volume; Bond Interest Rates
    • G2 - Financial Economics - - Financial Institutions and Services

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:pacfin:v:82:y:2023:i:c:s0927538x23002652. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/pacfin .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.