Analyzing the performance of mutual funds in 2021–2022

Abstract

Subject. The article investigates the effectiveness of mutual funds in 2021–2022. Objectives. The study of the mutual fund market to determine changes in the securities market due to the new political situation in 2021–2022. Methods. The study employs methods of descriptive statistics and comparative analysis. I carried out a thorough literature review. The independent data source for a private investor in Russia, i.e. Invesfunds, served as an information base of the study. Results. The descriptive analysis helped reveal that due to the high degree of uncertainty, increased market and infrastructure risks, there was not only an outflow of funds, but also the closure of a huge number of exchange-traded funds. At the same time, the structure of the inflow changed significantly – it was fully secured by the issuance of shares of closed-end investment funds. In 2022, open-ended mutual funds showed practically no excess profitability, compared to 2021. The key observation of the mutual fund market in 2022 was the influx of investors. Conclusions. The conducted research enables private investors to assess the current situation on the securities market, and, as a result, make a decision on the profitability of investing money. Legal entities, building an investment portfolio, should take into account the difficulties in dealing with foreign assets and, possibly, reconsider the direction of investment towards domestic assets.