Research On The Open-end Fund Performance Evaluation Of China

With the rapid development of Capital Market in our country, the equity open-end fund is playing a more and more important role on securities business. Scientifically and rationally measuring their performances can provide fund manager, investor and supervisor with abundant information that can be used for decision. This paper will analyze the first 16 equity open-end fund of China in the following way: First of all, it introduces the development overview of the foreign equity open-end fund industry and current situation of the development of our country, and briefly defines the equity open-end fund and its special features. Secondly, make simple discussion to the performance of equity open-end fund, and then introduce fund theory and appraisal method of fund performance appraising one by one. Based on the above all analyzing, this paper will go on to appraise the investment performance of the first 16 equity open-end fund in China, the skill of market timing and stock selection, the lasting performance and the liquidity risk of the fund. After that the conclusion is drawn as the following: the performance of the fund in China can not exceed the benchmark numerously; the fund mangers have some of the skill for stock selection, but no market timing ability; the fund performance has no constancy and the open-end fund is facing the great risk of redemption. In the end, it carries on the discussion on the dependability of the fund performance and proposes some suggestions on application.