Mapping Mutual Fund Investor Characteristics and Modeling Switching Behavior

Authors

Mary Jane Lenard, University of North Carolina
Syed H. Akhter, Marquette UniversityFollow
Pervaiz Alam, Kent State University - Kent CampusFollow

Document Type

Article

Publication Date

Spring 2003

Source Publication

Financial Services Review

Source ISSN

1057-0810

Abstract

Securing a mutual fund that meets investment goals is an important reason why some investors exclusively stay with a particular mutual fund and others switch funds within their fund family. This paper empirically investigates investor attitudes toward mutual funds. Our model, based on investor responses, develops an investor's "risk profile" variable. Results indicate that regardless of whether the investors invest in nonemployer plans or in both employer and nonemployer plans, they consider their investment risk, fund performance, investment mix, and the capital base of the fund before switching funds. The model developed in this study can also assist in predicting investors' switching behavior.

Comments

Published version. Financial Services Review, Vol. 12, No. 1 (Spring 2003): 39-59. Publisher Link. © 2003 Academy of Financial Services. Used with permission.

Recommended Citation

Lenard, Mary Jane; Akhter, Syed H.; and Alam, Pervaiz, "Mapping Mutual Fund Investor Characteristics and Modeling Switching Behavior" (2003). Marketing Faculty Research and Publications. 4.
https://epublications.marquette.edu/market_fac/4