The Evaluation And Management On Liquidity Risk Of Open-ended Funds

Up to Jan. 19, 2005, the Open-ended funds of our country have amounted to 278.8 billion units, which nearly accounts for one quarter of the whole of Shanghai and Shenzhen stock market. Because the uncertainty of fund's sources and prices seriously influences the stability of the stock market, it is necessary to strengthen the management of the liquidity risk of the Open-ended funds theoretically and practically.After making reference to recent research on liquidity risk of Open-ended funds, with quantitative analysis and demonstration of Open-ended funds in Chinese stock market, an essential model of management on liquidity risk has been designed, and then a deep research on the parameters of the model have been made, which comprises reconstructing the formulation for assets realization under the weak efficient market; summarizing former research results on the pertinence between Open-ended funds'yield and redemption scale.This paper consists of five chapters. Chapter one focuses on the background and meaning of research, and then makes a summary of recent disquisition about liquidity risk management and introduces innovations and structure of the paper. Chapter two makes a deep and all-around analysis on the special condition of Open-ended funds in China. Chapter three is about the reason that liquidity risk of Open-ended funds brings out and operation mechanism. Chapter four analyzes how to form the liquidity risk management system. And chapter five points out themanagement system corresponding to the reality of Open-ended funds' development through analyzing the supply and demand of redemption of Open-ended funds.