Study reveals luck plays key role in open-end fund performance
The article examines how luck affects the performance of open-end funds in China. By analyzing a large sample of stock funds, the researchers found that luck plays a significant role in fund performance. They used different models to understand how luck impacts index funds and active funds differently. The study suggests that fund managers' skills and luck both influence fund performance. The researchers recommend considering luck when evaluating fund performance to make better investment decisions.