Cash flows are a reflection of the cash flows in and out of financial assets.
Investors can follow the direction of cash flows to get an idea of the state of individual stocks and sectors or the market as a whole.
Mutual fund managers or ETFs with net inflows have more cash to invest, and demand for underlying assets tends to rise. With pure outflow, the opposite is true.
High net inflows may reflect rising overall investor optimism.
A high net outflow may indicate an increase in investors’ wariness.
Exception 3(c)(7) pertains to a section of the Investment Company Act of the 1940s allowing qualifying private funds to be exempt from certain SEC rules.
3C1 refers to the part of the Investment Company Act of 1940 that exempts certain private equity firms from regulation.
– A firm to be defined as an investment company must comply with certain regulatory and reporting requirements set by the SEC.
Attribution analysis is an evaluation tool used to explain and analyze the performance of a portfolio (or portfolio manager), especially when compared to a certain benchmark.
A growth fund is a mutual fund or exchange-traded fund (ETF) that includes companies that aim to grow revenue or earnings faster than competitors in the industry or the market as a whole.
in the master-feeder structure, investment funds are formed from the capital of investors; these feeder funds in turn invest in a centralized master fund.