Research On Risk Management Of State-Owned Industrial Investment Fund

State-owned Industrial Investment Fund (IIF) is an innovation financial instrument in capital market. As a main form of Investment Fund, IIF is also one of the significant and effective ways to support and develop a country's economy, especially for China's industrial development and industrial restructuring. State-owned Industrial Investment Fund to strengthen risk management capabilities, will significantly enhance the Fund's management and investment capacity, improve efficiency and effectiveness of their investments, thus to guide social investment, promote economic restructuring and improve the state economy and state control Increasing the value of assets, and further secure its important position in the national economy. Therefore, the theoretical research of State-owned Industrial Investment Fund risk is of great theoretical and practical significance.In this paper, the theoretical research of State-owned Industrial Investment Fund risk during operation is based on principal-agent theory, game theory and risk management theory. According to the operation process of IIF, this paper divides risk management process into four stages, the financing stage, the investment stage, the holding stage and the exit stage. Then analyze the risk factors of each stage, and correspondingly propose suitable methods of risk assessment and risk control. Finally, conduct empirical analysis by a case study.In the financing stage, in order to solve the problem of adverse selection of investors, based on industry investment and investor choice between the static game of reward, reward recognition model was constructed to discuss how to identify through the design of compensation contracts to help investors understand their own strength, select the appropriate industry investors.At the same time, in order to solve the industry investor moral hazard problem, the paper analyzes moral hazard on the basis of objective and subjective reasons, to establish a reputation incentive constraint model to prove the reputation incentive to the industry, investors have an important influence career development, and thus industrial investors as an effective inhibition of the primary means of moral hazard.In the investment stage, the purpose of the effective project risk management, the paper construct the state-owned industrial investment funds for project risk evaluation index system and gray multi-level project risk measurement model. Total project risk evaluation index system including 9-level indicators and 36 secondary indicators, of which investment fund for the policy of state-owned industries and industry guide investment orientation, increasing the risk of policy and industry and regional impact of two-level indicators, Bias against investment in industrial investment, and increase technological innovation, market potential, management team quality, market potential, product uniqueness, ease of exit and other secondary indicators.In addition, investment decisions for the Fund that may occur when the rent-seeking risk, the paper construct the rent-seeking behavior game model, the government invested enterprise set up rents and rent-seeking process of the causes and proposed specific measures to guard against the risk of rent-seeking.In the holding stage, the purpose of risk management is to focus on the core concept of industrial investment, to help the invested enterprises increase in value, in the mean time safeguarding the interests of IIF, reduce the risk of investment decisions and harvest appropriate profits. This paper analyzes the risks of holding stage, proposed industrial investment fund can reduce risk by enhance value-added services and strengthening supervise measures.In the exit stage, the main risks are the uncertainty of the external environment and the information asymmetry. In this paper, analyze the causes and forms of exit risk, then study the six factors that influence the exit mode of State-owned Industrial Investment Fund, which are environmental factor, invested enterprises factor, industry investment fund factor, staff attitude factor, exit costs and market capacity factor, and obtain optimal exit mode by using fuzzy optimal selection model. Meanwhile, the paper also analyzes the factors that influence exit time, which are environmental factor, invested enterprises factor and IIF factor, obtain the optimal exit time by using fuzzy comprehensive evaluation method. Finally, analyze and verify the study above by conduct a case study of xiang jiang Industrial Investment Fund, the research results of this paper are valuable to strengthen the awareness of risk management of industrial investment funds, And it's sincerely hoped that the paper can be useful for the further development of industrial investment fund in China.