The Performance of U.S. Equity Mutual Funds in the First Decade of 21st Century with Selected Indexes

Al Hourani, Mohammed A.

The Performance of U.S. Equity Mutual Funds in the First Decade of 21st Century with Selected Indexes

Files

The Performance of U.S. Equity Mutual Funds in the First Decade of 21st Century with Selected Indexes.pdf (83.41 MB)

Date

2010

Authors

Al Hourani, Mohammed A.

Abstract

Several studies stated that managers achieve superior returns while others stated they do not. This paper studies the performance of 200 U.S. equity mutual funds in the first decade of 21st century using four Indexes S&P500, DJIA, Russell3000 and NASDAQ as benchmarks which give this study its importance. I found that mutual funds outperformed the market before and after expenses when compared to S&P500 and DIJA; outperformed the market before expenses but do not generate abnormal profit after expenses when compared to Russell 3000; do not generate abnormal profit before expenses and underperformed the market after expenses when compared to NASDAQ. I concluded that estimated beta and actual beta are equal only for S&P500.

Citation

Al Hourani, M. A. (2010). The Performance of U.S. Equity Mutual Funds in the First Decade of 21st Century with Selected Indexes (MBA thesis, Haigazian University)