Attracting Flows by Attracting Big Clients

• 成果类型: Article
• 署名作者: Cohen, Lauren; Schmidt, Breno
• 署名单位: Harvard University; University of Southern California; National Bureau of Economic Research
• 刊物名称: JOURNAL OF FINANCE
• ISSN/ISSBN: 0022-1082
• DOI: 10.1111/j.1540-6261.2009.01496.x
• 发表日期: 2009
• 页码: 2125-2151
• 关键词: MUTUAL FUND PERFORMANCE; RISK

摘要

We explore a new channel for attracting inflows using a unique data set of corporate 401(k) retirement plans and their mutual fund family trustees. Families secure substantial inflows by being named trustee. We find that family trustees significantly overweight, and are reluctant to sell, their 401(k) client firm's stock. Trustee overweighting is more pronounced when the relationship is more valuable to the trustee family, and is concentrated in those funds receiving the greatest benefit from the inflows. We quantify this flow benefit and find that inclusion in the 401(k) plan has an economically and statistically large, positive effect on inflows.