The Analysis of costly search agains mutual fund flows in Indonesia
NUGROHO, Suwito Adhi, Dr. Jogiyanto Hartono, MBA
2002 | Tesis | Magister Manajemen-
This researching gives description and information about mutual funds in Indonesia, especially relating with implication of searching costs on flows into and out of equity mutual funds. This topic is based on a condition where the investors must collect and process all information relating to each mutual fUnd such past performances, fees, and other characteristics before they deciding to buy certain mutual funds. This is has to be done remember they only want to have best mutual fimds. Howevcr, those activities are not at zero costs, collecting and processing are costly activities which consumer must bear by issuing some searching costs. Since it is so difficult to calculate precisely about searching costs borne by investors and also there are assumptions that they want to minimize their searching costs as low as possible and would buy mutual hnds that less costly to identify, thus measurement of this problem will be used three related measures as proxies for the costs of identifying mutual fund products, namely rutual hnd complex size, marketing and distribution fees, and media co‘Jerage. Later on, these three proxies will be correlated with flows of hnds into and out of equity mutual funds. Using multiple linear regression model, it will be detected the correlation between these three proxies as independent variables and fimd flows as dependent variable. It is expected that these three variables have positive and significant correlation against find flows. The results of computation using SPSS 10.0 software show that all these three variables are significant against fund flows at once. In other words, it can be said that this regression model is can be used to predict hnd flows in Indonesia. However, when individual tests were done, only media coverage variable which has positive and significant correlation ‘against hnd flows, suitable with initial hypothesis. While others, fund complex size and fees variables, each of them have positive but not significant correlation, and negative and not Correlation.
Kata Kunci : Manajemen Pembiayaan, Fund flows, Complex size, Marketing and selling fees, coverage.
