On the Origins of a Conflict of Interest in the Mutual Fund Industry

Abstract

This article discusses conflicts of interest existing between investors and their financial advisors.Several contributions in this field treated this question in relation either with invested amount or with expected holding period of the mutual fund. Our paper considers an approach globalizing these two

Brothers from different mothers how distribution fees change investment behavior

“…The effect of sales fees can be analyzed at two different levels: on the one side they usually indicate the presence of a broker within the investment decision process 2 and many authors have argued that broker incentives may pay a key role in the choice of investment product (see for example O'Neal, 1999;Zhao, 2008;Del Guercio et al, 2010;Lemeunier, 2011).…”