The Research Of Market Quality Impacted By The Behavior Of Muture Fund

We all see that the Chinese exchange market and the fund market develop quickly recently.In 2007,Shang Hai composite index records high level, it reached 6124.04 points in 16^th,October; The market capacity gets high level too,IPO surpass 400 billion and the total market capacity is more than 33000 billion. Shang Hai exchange market firstly hand over the report of the market quality,in 2006.So,the markrt quality is on the point of the research. The market quality is composited exemplify under the specific trade system and market environment. To be specific,market quality includes liquidity,volatility,pricing efficiency and quality of order executing. Compared with developed exchange market, the structure of Shang Hai exchange market is not so reasonable. The individual investors are more than institution investors. At the same time,from the first mutual fund issuing in 1998,we have found 59 fund manage companys and 363 funds,the funds'scale is more than 3000 billion.The mutual fund becomes more and more important.The influence is proundful. The investment of muture fund will more and more be the point of the research.Based on the fact,this paper will pay attention on the market quality which is impacted by the muture fund.In this paper, based on the theoretical analysis ,we focused on empirical research. first,we had a descriptive analysis on the sample, then,we use of models to explain the problem in-depth study. About the investment of funds and investment strategies of the study, the current general consensus is that China's muture funds significant have " Herd behavior", fund managers usually employ positive feedback trading strategy to achieve victory over the market.This paper firstly systematic study of the fund's investment behavior of the market quality. Through the research about the sub-index rate of market return and Zhongcang Gu performance characteristics of the fund,the result is that muture funds' investment made the market more liquidity and efficiency,but also more volatility.Zhongcang Gu have the same performance.Anyway,we found that the muture funds carry out the short-term investment strategies.It is unreasonable. So we should construct a good investemt environmet.The suggestion are that we should rich the investing productors,increase the quality of the investor and establish the reasonable evaluation standard of the fund.