seek other alternatives to traditional fund investments

Many mutual fund investors have seen the recovery of global markets, but have yet to see their investments following suit. I have frequently discussed the impact of high management fees on mutual fund investors, and this is part of the story. Another major drag on many fund companies is the redemptions they have suffered through the downturn. In other words, when investors want out of their fund holdings, the manager is forced to sell, regardless of whether it is the right time to do so. and I believe many fund families will continue to suffer from this as investors seek other alternatives to traditional fund investments.