Paper Key : IRJ************827
Author: Prakash Kumar Dubey,Aarohi Pandey,Harsha Vaswani,Sejal Sunil Shirsat
Date Published: 03 Apr 2025
Abstract
This systematic literature review (SLR) provides an in-depth examination of the academic research surrounding mutual funds. With the growing interest in these investment vehicles, mutual funds have become an essential component of both individual and institutional portfolios. The review synthesizes over two decades of research, focusing on key areas such as performance evaluation, fund management strategies, investor behavior, and risk analysis. The study aims to consolidate the vast body of literature on mutual funds, offering valuable insights for researchers, investors, and financial professionals. The review methodology follows a rigorous process, including the selection and analysis of peer-reviewed journal articles, conference papers, and industry reports. A total of 150 studies were examined, with an emphasis on empirical research, quantitative models, and case studies. These studies were categorized into three broad themes: performance assessment, management strategies, and investor behavior. The findings reveal consistent patterns in the evaluation of mutual fund returns, including the influence of market conditions, manager expertise, and fund objectives. The review also highlights the growing importance of fund manager skills, emphasizing the role of active versus passive management strategies. While active funds tend to outperform passive funds in certain market environments, the long-term results suggest that the latter often provides more consistent returns with lower fees. Additionally, investor behavior is explored through the lens of market psychology, showing how emotions and biases impact decision-making processes. The review further delves into the evolving nature of mutual funds in the context of technological advancements, such as robo-advisors and the use of artificial intelligence for fund selection and risk management. The impact of regulatory changes, particularly post-financial crisis regulations, is also examined, revealing their influence on transparency, fee structures, and investor protection. Keywords: Mutual funds, Investor Behavior, Risk Analysis, Fund Management Strategies, Performance Evaluation
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