The Exit Determinants and Wealth Effects in the Taiwan Mutual Fund Industry

Abstract

本研究旨在探討台灣共同基金進行合併或清算的決定因素，以及合併後基金股東的財富影響效果。實證結果發現，清算基金的績效表現是最差的，同家族內的合併基金表現次之，而存活的基金表現是最好的。從基金流量的角度觀察，前期績效較差且長期資金淨流出的基金會增加被清算的機率；另一方面，前期績效較差但短期資金淨流出的基金則較容易進行同機構內基金的合併動作。透過相互合併的基金樣本發現，主併基金的績效在併購後呈現明顯的衰退，相反的，併購對於被併基金是最有利的。意味著合併過程可能造成主併基金股東的財富移轉至目標基金的投資人。合併後存續下來的基金，併購之後的資金仍然呈現淨流出的現象。由於併購改善經濟規模效果，存續基金的費用率可望在合併後的第二年出現下降的情況。

This study examines the determinants of mutual fund mergers and liquidations, and discusses the subsequent wealth impacts of mergers on investors in the Taiwan Mutual Fund Industry. Liquidated funds showed the worst performance, funds merged within the same family ranked second, and surviving funds were the best. Poor prior performance and long-term fund outflows increase the possibility of being liquidated. Similarly, poor prior performance and short-term fund outflows lead to higher odds of a within-family merger. Investors in an acquiring fund experienced a significant deterioration in performance subsequent to the merger activity. In contrast, the investors of target funds benefited from these combinations. The net asset flows continued to remain negative for the combined fund in the year following the merger. The expense ratio of combined funds declined in the second post-merger year due to improved economies of scale after the merger.