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Mutual Fund Fee Structures and Broker Compensation
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The mutual fund fee structure varies substantially across funds, a major variable being whether a contract imposes a fixed fee or marginal fee structure. This paper examines how the use of a fee structure affects broker compensation, investor investment decisions and broker benefits. Theory suggests that marginal fee contracts are the results of either economies of scale or non-linear fund performance. The intent of this study is to understand if the fee structure framing has a significant economic effect on broker compensations. Furthermore, to understand if fund inflows as well as fund performance are directly influenced by fee structure.
Mutual fundBrokerGovernanceFees
Lonnie L. Bryant、Maureen Butler、Zhongling Cao
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The University of Tampa Finance Department 401 W. Kennedy Blvd. Tampa, FL 33606