Measuring the True Cost of Active Management by Mutual Funds by Ross Miller

SSRN-Measuring the True Cost of Active Management by Mutual Funds by Ross Miller:Yet another WOW paper!Miller decomposes mutual fund returns into an active portion and a passive portion. He then shows that the fees are for the active portion are much higher than most investors would suspect.Longer version: It is well known that actively managed funds are highly correlated with market indices.