On The Governance Structure Of Securities Investment Funds

It is not uncommon in our country that fund assets are manipulated by their managers and interests of fund-holders are impaired therefore. Such phenomena may result from a good many reasons such as the asymmetric in information accessibility, the imperfection in supervisory regulations, the psychological expectation to be " free riders" held by small and medium-sized fund-holders, etc. The phenomena literally reflect that there exist distinct defects in the governance structure of securities investment funds. Among the most important ones is the weakening of equity rights on the part of the fund-holders, which has become a critical hindrance to the further development of securities investment funds in China.Based on the previous study, made by others, the paper concentrates its discussion on the framework of the governance structure about the securities investment funds. It analyzes in detail the existing problems in the governance structure of such funds and, on the ground of theoretical support and of successful experience gained abroad, it puts forward feasible proposals for the improvement and perfection of the structure.