MODELLING FLOWS FOR MUTUAL FUNDS, MANAGER CHANGES AND PERFORMANCE

We examine the impact of changes in fund performance and fund flows to establish whether this impact varies depending upon whether the fund manager is male or female; whether the fund is a developed or emerging market; and depending upon the fund's style, that is, growth, value or small capitalisation. Our results show clearly across different categories of funds that a change in fund manager can have a significant impact on fund performance, at least in the first year following the event. Our evidence proves that managers' gender, the market or the type of asset they invest in do not influence the level of fund flows, however the change of the fund manager and the past performance do.