Mutual funds: Reputational repair

Stung by market timing and late-trading scandals, US mutual funds such as Putnam are scrambling to shore up their battered reputations. But the fallout may be far from over.

The US mutual fund industry enjoyed the first three quarters of 2003. After a miserable three years, the bear market in equities finally ended and investor confidence in corporates stopped haemorrhaging after the WorldCom and Enron debacles. But in September 2003, the industry was shaken to its core.

This time, mutual funds had nobody to blame but themselves. A series of revelations related to market timing (allowing selected investors to access stale prices in order to exploit arbitrage

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

Most read articles loading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here