We examined changes in performance, risk, and investment style for mutual funds that changed managers during the 1983–91 period. Results show that funds experiencing a managerial change performed poorly before the change, primarily as a result of inferior security selection. Risk-adjusted performance, on average, improved 200 basis points annually and systematic risk increased significantly after the management change. We also classified funds according to their equity “effective mix” of company sizes and value versus growth. More than 65 percent of the funds experienced a shift in investment style after the management change.