A study on the effects of liquidity and fund size on fund returns on selected unit investment trust fund: 2006-2011

• Main Authors: Beltran, Ma. Jeceline G., Sanchez, Krizzia Marie M., Solana, Louise Ann L., Sunglao, Mari Joy S.
• Format: text
• Language: English
• Published: Animo Repository 2012
• Subjects: Mutual funds > Philippines; Finance and Financial Management
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/18511
• Institution: De La Salle University

The unit investment trust fund or UITF is a pooled investment offered by trust departments of banks or financial institutions that hold diversified instruments in Philippine pesos or an acceptable foreign currency. In a short period of time, this industry has prospered so fast and has made its name established for different kind of investors because of the promising returns or income that it is giving. This study will answer or at least give you an added literature on how fund return is affected by various predictors such as fund size and liquidity that can be measured through effective spread, market impact 1 model and market impact 2 model. Equity fund and balanced fund, being the most actively-traded funds, are the UITF families that this study covers. The research encompasses the period 2006-2011 since most of the funds are incepted in 2006 and to add accuracy and legitimacy of results, the researchers decide on extending the study period to 2011. Researchers performed a multiple regression to know the relationship between various independent variables and dependent variable.