The objective of this discussion is to develop a broader examination of the relationship between mutual fund size and performance. Your contributions to this discussion will build upon the article Mutual Fund Performance: Does Size Matter?, by Indro, Jiang, Hu and Lee. Make sure you have read this article carefully and reviewed the material in Lesson 3 before embarking on your posts. The article provides a number of possible reasons why we might expect a mutual funds size (assets under management, or AUM) to have an impact on performance. The factors the authors mention include economies of scale, liquidity, visibility, administrative burden and style drift.

Your job is to locate one or more articles that examine the size-performance relationship. You can find articles in academic or practitioner journals. You may also find references to this issue in the financial press, websites or blogs. Both types of references are important. Journal articles can provide a more structured and rigorous empirical evaluation of the size-performance relationship. Contemporary sources can provide anecdotal evidence or ideas regarding why there may or may not be a relationship.

In your primary discussion post, you should summarize the contribution of your article(s) to the study of mutual fund size and performance in a paragraph or two and provide a link to the work you are citing. You must identify at least one unique contribution. You should also review contributions made by your colleagues to find common threads among articles and help to elaborate their posts.