Who runs on funds?

  • Wed 14 Jun 23

    12:00 - 14:00

  • Colchester Campus


  • Event speaker

    Marie Hoerpva, European Central Bank

  • Event type

    Lectures, talks and seminars
    Essex Finance Centre (EFiC) Research Seminar Series

  • Event organiser

    Essex Finance Centre

  • Contact details

    Dr Anna Sarkisyan

The Essex Finance Centre (EFiC) warmly invites you to join the research seminar with Dr Marie Hoerova from the European Central Bank.

Seminar summary

Other investment funds do! Using security-by-security data on investor holdings in the euro area, we study run dynamics across different fund-shares of the same fund, during the unprecedented liquidity crisis in March 2020. For an average bond fund-share, households, other euro area funds, and the foreign sector represent about a quarter of the total holdings each. Insurance companies hold another 12%, with all other investors combined (banks, non-financial corporations, pension funds…) accounting for less than 10% of holdings. We show that fund-shares with higher ownership by other funds faced more than double the outflows compared to fund-shares with higher direct household ownership. This gap is not driven by time-varying differences in fund performance. Our findings suggest that a collective “dash for cash” by consumers and firms in need of liquidity at the outset of the COVID-19 pandemic was not the source of mutual fund fragility. Instead, the most run-prone investor type turned out to be the fund sector itself.


How to attend this seminar

This seminar is free to attend with no need to register in advance.

We welcome you to join us in person at our Colchester campus in room EBS.2.50, Essex Business School Building.

Speaker bio

Marie Hoerova

Marie Hoerova is a Senior Adviser in the Directorate General Research of the European Central Bank and a Research Fellow of the Centre for Economic Policy Research. She is involved in theoretical and empirical research in monetary and financial economics, with a particular interest in central bank policies, financial stability, and financial regulation. Her research has been published in the Review of Economic Studies, the Journal of Finance, the Journal of Financial Economics, and the Journal of Monetary Economics, among others. She received her Ph.D. in 2006 from Cornell University’s Economics Department. During her studies, she was supported by a Fulbright Fellowship. Additional information about Marie can be found on her webpage.