In the developed capital market, AMCs offer wider varieties of fund objectives and policies responding to investor risk preferences. Specialized equity funds focus on narrow industry segments dominate . asset management industry (Bogle (2005)). Management fees of equity funds can be viewed as the indicator of security selection and portfolio management skills of fund managers. Nazir and Nawaz (2010) documented that higher management fees lead to higher total fund returns reflecting in higher risk adjusted return or Sharpe’s ratio. .
