Abstract
The purpose of this article is twofold. Empirically, the author uses a unique set of data in an emerging market (Egypt) to re-assess the inter-correlation between mutual fund governance, performance, fee structure, and stock selection and market timing of the fund managers’ pre-and-post 2007-2008 financial crises. Methodologically, the author develops a Structural Equation Model to systematically address the endogeneity problem. The author contributes to the literature in two aspects. Firstly, the author identified some special features that only exist in developing countries. Secondly, the author answers the research question in an integrated and holistic way, so it bridges the three seemingly separate strands of literature on fund governance, performance and fees. The results are relevant to the misconduct of corporate governance rules in Egypt. Overall, the financial crisis demonstrates a need for enforcing the application of the regulations of the Egypt Code of Corporate Governance to increases the firm value.
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