Changes in Markets Trends and Effectiveness of Equity Mutual Funds in Poland in the Years 2005-2014 Cover Image

Zmiany trendów rynkowych a efektywność akcyjnych funduszy inwestycyjnych w Polsce w latach 2005-2014
Changes in Markets Trends and Effectiveness of Equity Mutual Funds in Poland in the Years 2005-2014

Author(s): Emil Ochnio, Sylwester Kozak
Subject(s): Economy, Financial Markets
Published by: Wydawnictwo Naukowe Uniwersytetu Marii Curie-Sklodowskiej
Keywords: mutual funds; equity mutual funds; profitability of funds; changes in share prices; fundusze inwestycyjne; akcyjne fundusze inwestycyjne; dochodowość funduszy; zmienność cen akcji

Summary/Abstract: After a sharp decline in the value of mutual funds’ assets in 2008 in subsequent years, their situation has improved. In 2014 it resulted in tripling their assets comparing to 2005. Using monthly data on 18 equity funds operating continuously in Poland in 2005–2014, the profitability, level of risk and efficiency of funds were examined. The results indicate that profitability and efficiency of funds are significantly correlated with the trends in prices on the WSE. Taking higher investment risk brings additional positive results especially during periods of upward trends in share prices. In periods of crisis, smaller losses are suffered by funds with less aggressive investment policy. In the long term, better efficiency is obtained by funds reaching relatively stable rates of return throughout the entire period and better adapting current investment policy to the current stage of economy.

  • Issue Year: L/2016
  • Issue No: 3
  • Page Range: 73-84
  • Page Count: 11
  • Language: English