IDEAS home Printed from https://ideas.repec.org/h/wsi/wschap/9789812772213_0012.html
   My bibliography  Save this book chapter

Performance of Canadian Mutual Funds and Investors

In: Advances In Quantitative Analysis Of Finance And Accounting

Author

Listed:
  • Rajeeva Sinha

    (Odette School of Business, University of Windsor, 401 Sunset Ave., Windsor, Ontario, Canada N9B 3P4, Canada)

  • Vijay Jog

    (Carleton University, 1127 Colonel by Drive, Ottawa, Canada K1S 5B6, Canada)

Abstract

The study examines the performance of a comprehensive sample of Canadian open-end equity mutual funds and investors. Our results show that while the majority of funds outperform their self-selected benchmarks, the performance is lackluster in comparison with some well-recognized benchmarks like the TSE 300 and the 90-day T-Bill rates. These returns are even lower when one accounts for the timing of entry and exit by mutual fund investors. We also find that returns of mutual funds are adversely affected by active trading and advisory and non-advisory expenses are negatively related to performance. Accordingly, we conclude that investors are likely to be better off by following a passive and index-based investment approach in the long term.

Suggested Citation

  • Rajeeva Sinha & Vijay Jog, 2007. "Performance of Canadian Mutual Funds and Investors," World Scientific Book Chapters, in: Cheng-Few Lee (ed.), Advances In Quantitative Analysis Of Finance And Accounting, chapter 12, pages 227-258, World Scientific Publishing Co. Pte. Ltd..
    • Handle: RePEc:wsi:wschap:9789812772213_0012
    as

    Download full text from publisher

    File URL: https://www.worldscientific.com/doi/pdf/10.1142/9789812772213_0012
    Download Restriction: Ebook Access is available upon purchase.
    File URL: https://www.worldscientific.com/doi/abs/10.1142/9789812772213_0012
    Download Restriction: Ebook Access is available upon purchase.
    ---><---

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

    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:wsi:wschap:9789812772213_0012. 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: Tai Tone Lim (email available below). General contact details of provider: http://www.worldscientific.com/page/worldscibooks .

    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.