Mutual funds change their risk levels significantly over time. Risk shifting might be caused by
ill-motivated trades of unskilled or agency-prone fund managers who trade to increase their …

We examine the influence on managerial risk taking of incentives due to employment risk
and due to compensation. Our empirical investigation of the risk taking behavior of mutual …

We analyze a family of portfolio management problems under relative performance criteria,
for fund managers having CARA or CRRA utilities and trading in a common investment …

This paper examines the use of derivatives and its relation with risk taking in the hedge fund
industry. In a large sample of hedge funds, 71% of the funds trade derivatives. After …

We develop a unified model of the interactions among investors, fund companies, and fund
managers. We show that the interplay between a manager's incentives from her …

This paper analyzes the dynamic portfolio choice implications of strategic interaction among
money managers who compete for fund flows. We study such interaction between two risk …

This paper examines the influence of the position of a fund within its family on its subsequent
net‐inflows. Our empirical study of the US equity mutual fund market shows that reaching a …

Absent much theory, empirical works often rely on the following informal reasoning when
looking for evidence of a mutual fund tournament: If there is a tournament, interim winners …

This paper develops a tractable dynamic model of competition between two risk-averse
portfolio managers who attempt to outperform each other by trading in different stocks …

There is substantial evidence that the flow-performance relationship of mutual funds is
convex. We empirically investigate the determinants of such convexity. In particular, we …