The Relevance Between Personal Features Of Fund Managers And Fund Performance

The capital market become more and more mature as the economics of our country develop rapidly in recent years, the securities investment funds also enter rapid development. Investment funds is a new investment vehicle, it is being widely known and accepted by most investors. At present, the research on funds in China mostly focuses on how to evaluate fund performance. Less attention is paid to fund manager. Actually fund managers are the direct manipulator, they have great effect on the fund. As is said, to choose fund is to choose fund managers. The ability of fund managers is one of the most crucial factors to the fund performance, so, focus on fund managers, do more research on fund managers is necessary. In this paper, we will study the relevance between fund managers'personal characteristics and fund performance.Do research on the relevance between fund managers'personal characteristics and fund performance can give directions to investors. Investors can choose right fund managers based on the result, and acquire maximum return. To fund management Company, know more about this can help to choose excellent fund manager, besides, it can promote the competition between fund managers, and be advantageous to raise the level of fund managers'market in our country.In this paper, we do the research refer to the relevant papers both at home and abroad, adopting the method of cross section regression, observe and study the performance of 84 open-ended fund in 2006.2007 and in 2008. and compare the research result of 2006,2007 with that of 2008 to analyze which managers will behave more excellent in different market situation. In the paper, we choose Sharpe ratio as explained variable, which consider effects of market factors on fund performance and adjust the risk. Explaining variable, which is personal characteristics of managers, are the age, education, presidency, career experience and so on. At last, on the basis of the research result, combined with relevant financial theory, we will give reasonable explanation and my own suggestion. From this paper, we know that the age, presidency, career experience have positive effect on fund performance when the economy grow. But these factors seem not work during the recession. The other two factors, education and numbers of fund manager, have little effect on fund performance at any time. Besides empirical studies mentioned above, we also introduce labor market of fund managers in our country and papers about how to evaluate fund performance, relevant financial theory, then analyze the governance structure, decision system and the important role that fund managers play in the fund company systematically, provide theoretical support to the paper. These summarization would do some help to the similar research conducted by others later, this may be seen as a little contribution of the paper.