Howdy, Stranger!

It looks like you're new here. If you want to get involved, click one of these buttons!

Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.

    Support MFO

  • Donate through PayPal

Lewis Braham: Is Your Fund Being Front-Run ?

FYI: (Click On Article Title At Top Of Google Search)
Wall Street is Darwinian by design. The trader buying a stock wants to scalp the one selling it, and vice versa. But what if the seller has no choice but to dump her shares and the buyer—or worse, a short seller—knows this in advance?

That’s the situation many mutual fund managers are in today. According to Morningstar, U.S. actively managed funds had $297 billion in outflows in the past year, as investors have shifted to lower-cost index funds and exchange-traded funds. The trend is unlikely to abate—ever. And that could spell trouble for managers forced to sell into a market full of vulture investors and hedge funds looking to pick them off.
Regards,
Thttps://www.google.com/#q=Is+Your+Fund+Being+Front-Run?+Barron'sed
Sign In or Register to comment.