Difference between revisions of "Cash drag"

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Monthly reporting of mutual fund cash positions are posted at ICI: Trends in Mutual Fund Investing <ref>[http://www.ici.org/research/stats/trends/trends_09_09 ICI: Trends in Mutual Fund Investing]</ref>.
 
Monthly reporting of mutual fund cash positions are posted at ICI: Trends in Mutual Fund Investing <ref>[http://www.ici.org/research/stats/trends/trends_09_09 ICI: Trends in Mutual Fund Investing]</ref>.
  
Annual cash balances for US equity, balanced, and bond mutual funds are provided in the table below.
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Annual cash balances for US equity, balanced, and bond mutual funds are provided in the table below.<ref>[http://www.icifactbook.org/fb_data.html ICI data spreadsheets]; [http://www.ici.org/research/stats/factbook ICI 2015 Fact Book]</ref>
  
<html><iframe src="https://docs.google.com/spreadsheets/d/1sSi5BQiBgB70wl2xWch0F6Hx91C_VBq3990HY37ZtaY/pubhtml?widget=true&amp;headers=false" width="1100px;" height="950px;"></iframe></html><br>[https://docs.google.com/spreadsheets/d/1sSi5BQiBgB70wl2xWch0F6Hx91C_VBq3990HY37ZtaY/edit#gid=0 google drive spreadsheet] <ref>[http://www.icifactbook.org/fb_data.html ICI data spreadsheets]; [http://www.ici.org/research/stats/factbook ICI 2015 Fact Book]</ref>
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<html><iframe src="https://docs.google.com/spreadsheets/d/1sSi5BQiBgB70wl2xWch0F6Hx91C_VBq3990HY37ZtaY/pubhtml?widget=true&amp;headers=false" width="1100px;" height="950px;"></iframe></html><br>[https://docs.google.com/spreadsheets/d/1sSi5BQiBgB70wl2xWch0F6Hx91C_VBq3990HY37ZtaY/edit#gid=0 google drive spreadsheet]  
  
  

Revision as of 17:13, 29 May 2015

Cash drag is a diminution of return caused by a cash position in a mutual fund. A mutual fund typically holds a cash position to facilitate redemptions and pending investments. Since underlying securities of a mutual fund, especially stocks, often have better long term returns than cash, a cash position tends to reduce the performance of the fund.

Data

Monthly reporting of mutual fund cash positions are posted at ICI: Trends in Mutual Fund Investing [1].

Annual cash balances for US equity, balanced, and bond mutual funds are provided in the table below.[2]


google drive spreadsheet


References