PT  - JOURNAL ARTICLE
AU  - Robert D. Arnott
AU  - Andrew L. Berkin
AU  - Jia Ye
TI  - How Well Have Taxable Investors Been Served in the 1980s and 1990s?
AID  - 10.3905/jpm.2000.319766
DP  - 2000 Jul 31
TA  - The Journal of Portfolio Management
PG  - 84--93
VI  - 26
IP  - 4
4099  - https://pm-research.com/content/26/4/84.short
4100  - https://pm-research.com/content/26/4/84.full
AB  - This article examines the performance of large equity mutual funds over the past ten, fifteen, and twenty years. On both a before– and after–tax basis, the authors find that the average mutual fund underperformed the Vanguard Index 500 fund. Although part of this under–performance is attributed to a small–size bias inherent in active management, an analysis of the pure tax effects also shows that funds have not been managed in a tax–efficient manner. The authors suggest a few simple ways to improve after–tax performance.