The Security Investment Fund Participate In Corporate Governance To Guide Value Investment

Security investment fund is an important instrument of promoting and accelerating security market's healthy and steady development. As well, a representation for investors is of vital importance to the consummation of listed companies'governance structure. With the development of the scale of security investment fund'shareholding day by day and the position of it in the company improves gradually, security investment fund play a more and more important role in advancing the corporate governance and promoting corporate performance.In theory, the paper introduces the background and literature survey of this research, clarifies the purpose, process and structure of it. Based on the above, we analyzed the corporate performance influence mechanism performed by Security investment fund's share holding. This paper presents and analyses the corporate performance influence mechanism performed by institutional investors'shareholding based on institutional investors'shareholding direct participation of the inside corporate governance and the indirect influence of outside the corporate governance, and has concluded the specific way of how institutional investors'shareholding affect corporate performance. Further more, for a detailed description of the theory, the paper choose ZTE's H share offering events and Merchants Bank's convertible bonds issued case.In the empirical, using the regression model of panel data, further research has been done to investigate the effects of the bulk-holding of securities fund on corporate performance, especially in the finance performance. Empirical results make know that:there is a active relation between the proportion of the bulk-holding of securities fund and ROA. And also the empirical results show that bulk-holding of security investment fund positively participates in the reform of corporate governance, thus has caused the promotion of corporate performance.