Antecedents of equity fund performance: A contingency perspective

While the fund performance management literature has clearly documented that the fund size, fund family size, and net cash flow are important antecedents of equity fund performance, prior empirical studies have revealed mixed results that have not been adequately explained. Through the lens of the c...

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Main Authors: Liu, Li Xian, Jiang, Fuming, Li, Jizhong, Farooque, Omer Al
Format: Journal Article
Published: World Scientific 2020
Online Access:http://hdl.handle.net/20.500.11937/79807
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author Liu, Li Xian
Jiang, Fuming
Li, Jizhong
Farooque, Omer Al
author_facet Liu, Li Xian
Jiang, Fuming
Li, Jizhong
Farooque, Omer Al
author_sort Liu, Li Xian
building Curtin Institutional Repository
collection Online Access
description While the fund performance management literature has clearly documented that the fund size, fund family size, and net cash flow are important antecedents of equity fund performance, prior empirical studies have revealed mixed results that have not been adequately explained. Through the lens of the contingency perspective, we developed a conceptual model that examines how the expense ratio and management compensation as contextual factors interact with the fund size, fund family size, and net cash flow to affect equity fund performance. The empirical analyses were based on panel data including 690 equity funds in China over a 7-year period from 2009–2015. The results show that the expense ratio and management compensation moderate the effects of the fund family size and net cash flow on fund performance, and management compensation also moderates the relationship between the fund size and fund performance.
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institution Curtin University Malaysia
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last_indexed 2025-11-14T11:14:05Z
publishDate 2020
publisher World Scientific
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spelling curtin-20.500.11937-798072020-09-02T07:55:44Z Antecedents of equity fund performance: A contingency perspective Liu, Li Xian Jiang, Fuming Li, Jizhong Farooque, Omer Al While the fund performance management literature has clearly documented that the fund size, fund family size, and net cash flow are important antecedents of equity fund performance, prior empirical studies have revealed mixed results that have not been adequately explained. Through the lens of the contingency perspective, we developed a conceptual model that examines how the expense ratio and management compensation as contextual factors interact with the fund size, fund family size, and net cash flow to affect equity fund performance. The empirical analyses were based on panel data including 690 equity funds in China over a 7-year period from 2009–2015. The results show that the expense ratio and management compensation moderate the effects of the fund family size and net cash flow on fund performance, and management compensation also moderates the relationship between the fund size and fund performance. 2020 Journal Article http://hdl.handle.net/20.500.11937/79807 World Scientific restricted
spellingShingle Liu, Li Xian
Jiang, Fuming
Li, Jizhong
Farooque, Omer Al
Antecedents of equity fund performance: A contingency perspective
title Antecedents of equity fund performance: A contingency perspective
title_full Antecedents of equity fund performance: A contingency perspective
title_fullStr Antecedents of equity fund performance: A contingency perspective
title_full_unstemmed Antecedents of equity fund performance: A contingency perspective
title_short Antecedents of equity fund performance: A contingency perspective
title_sort antecedents of equity fund performance: a contingency perspective
url http://hdl.handle.net/20.500.11937/79807