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SSRNPortfolio & Allocation

Crowding in Mutual Funds

Mutual funds investing in the same stocks underperform by 1.4% annually compared to passive benchmark funds, due to high demand for liquidity and the related discount for owning liquid stocks.

Featured in No. 48 on 8 May 2024 ·

Released
7 Apr 2023
First featured
No. 48 · 8 May 2024
Published in
Not yet, as far as Semantic Scholar knows
Shares when featured
66
Identifier
SSRN 4818193

Citations and venue from Semantic Scholar (ODC-BY), refreshed weekly. Summary: Quant Letter (CC BY 4.0).

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