The Effect of Economic Factors on the Efficiency of Mutual Funds in Iran Seyedeh Javaneh Ahmadi Tulamy

The scarcity of financial resources causes that we use these scarce resources in a direction for maximizing our return. One of the ways of shareholding nonprofessional investors is to invest in mutual funds. This study examines the impact of macroeconomic variables (exchange rate and inflation rate) on the return of mutual funds in Iran. Hypotheses of this study is tested by investigating panel data of 11 mutual funds since 2008 to 2011 with monthly data. GlS procedure by Eviews7 software was used for data analysis. The results of the study showed a significant positive relationship between the fund return, the exchange rate and inflation rate. Also there is a significant positive relationship between fund assets and fund age with the fund return.