Mapping Mutual Fund Investor Characteristics and Modeling Switching Behavior

Authors

  • Mary Jane Lenard Bryan School of Business and Economic's, The University of North Carolina at Greensboro
  • Syed H. Akhter College of Business Administration, Marquette University
  • Pervaiz Alam College of Business Adminitration, Kent State University

DOI:

https://doi.org/10.61190/fsr.v12i1.4753

Keywords:

Risk analysis, Decision models, Fund switching behavior, Customer loyalty

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.

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Published

2003-03-30

Issue

Vol. 12 No. 1 (2003): FSR Spring 2003

Section

New Original Submission

License

Copyright (c) 2003 Academy of Financial Services

Creative Commons License

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Author(s) retain copyright and grant the Journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution-NonCommercial 4.0 International License that allows to share the work with an acknowledgment of the work's authorship and initial publication in this Journal.

This license allows the author to remix, tweak, and build upon the original work non-commercially. The new work(s) must be non-commercial and acknowledge the original work.

How to Cite

Mapping Mutual Fund Investor Characteristics and Modeling Switching Behavior. (2003). Financial Services Review, 12(1), 39-59. https://doi.org/10.61190/fsr.v12i1.4753