Do bank mutual funds perform?

THE MYTH

Many consumers believe that bank mutual funds just aren't as good as other types of funds on the market. There's an impression that bank funds aren't well managed, perform poorly compared to other funds, and offer less selection in the types of investments available. Some believe bank mutual funds are difficult to buy and sell and cost more than other types of funds. Also, there's criticism that bank staff aren't knowledgeable when it comes to selling mutual funds.

THE REALITY

* Lack of performance by bank-sponsored mutual funds used to be an issue five years ago, when only about one-quarter of all bank funds beat the average. But that has …