The Study Of Performance Evaluation Of Open-end Funds Performance Evaluation In China -

With the rapid development of the open-end fund in China, the influences of it in the financial market are increasingly manifesting. How to make an assessment of the performance of the open-end fund objectively and scientifically is very important to the investors, the fund management companies and the supervision authorities. The paper by referring to foreign securities investment fund performance of evaluation methods, together with the actual situation of China's securities market, selecting 21 stocks open-end funds as samples, analyses and assesses the sample funds'performance over the past 5 years, and gains some interesting results of the analysis, providing preliminary conclusions and useful references for further research.This paper uses a simple accounting profit index,risk-adjusted returns index, T-M model, regression analysis approaches, Cluster Analysis and other methods ,respectively from fund returns and risk,fund manager's ability of stock selection and market timing ability,fund performance persistence, comprehensive evaluation of the fund performance to conduct empirical studies.The main conclusions of empirical analysis are as follows:(1) When not considering the risk factors, generally Open-end fund return rates are slightly higher than the benchmark portfolio, but obviously lower than Shanghai and Shenzhen 300 index. (2) Considering the risks and benefits factors, Open-end fund return rates are significantly better than the market portfolio, generally reflect the use of portfolios to diversify risk, and show the advantages of earning stable return rate. (3) About the ability of the fund's stock selection and market timing, only a few funds showed obvious security selection ability and market timing, most of the fund's excess earning is not mainly due to the fund manager's professional skills. (4) Sample funds only have short-term fund performance persistence, and there are excess return rate increments of a few of funds clearly show the incremental reversal.(5) In addition, this paper uses Cluster Analysis of Multivariate Statistics Analysis, according to some return and risk indicators which reflect fund performance divides all of the selected sample funds into three categories, found all kinds of funds not only clearly show their own characteristics, but also reflect some unique advantages which only Open-end funds as an investment portfolio have.Finally, this study combines the results of empirical analysis and the actual situation of China's capital market, to put forward countermeasures to and provide suggestions on the development of China's open-end funds.