The Study On The Performance Persistence Of Open-ed Investment Funds In China

Performance persistence of open-end security funds can be defined that the fund which its performance was outstanding in the last period continues to maintain outstanding performance in the next period,and the fund of poor performance continued poor performance.If the fund's performance is sustainability,investors are concerned that they can gain benefits by buying pre-outstanding performance fund,and selling pre-poor performance fund.Performance persistence of open-end security funds,which origins in the breakdowns of performance,has become a main index for evaluating investment performance of mutual funds.Performance persisitency of open-end security funds in China can be set in two general classifications.One is absolute persistency,which compares a fund's performance to a market index's performance.In this regard,the raw or risk adjusted return is regressed against a market proxy representing that classification of investments.The second general classification of performance persistency is relative performance against funds of similar asset classification.Predictability from one period to the next is used to determine persistency.This paper is contains four chapters.The first chapter is the preface,including the sketch of the paper. The second chapter is mainly about the domestic and foreign research achievements about the domain of the performance persistence of investing funds , The following chapter is the main section of the whole paper, including the theories and models about the performance persistence of open-ed security fund in China ,and the empirical research on the samples.The last chapter is the conclusions of the research results and the suggestions to the government and the investors.