Chinese Securities Investment Fund Performance Evaluation Of Empirical Analysis

As the rapid development of Chinese fund industry, open-end funds have become more important in the securities market. Fund performance assessment is the management guide of fund managers and fund investors. A scientific and rational assessment of fund performance can provide useful information not only for fund companies but also for investors and regulatory authorities, which is a critical link of the fund industry norms and healthy development. In this paper, based on the international experience and advanced theory, linking to the Chinese reality closely, this article carries on the multi-angle study of the domestic securities investment funds to identify the problems and reveal the rules.This article introduces the three theoretical basis and major models of fund performance evaluation; On this basis, the article designs a complete system of open-end fund performance evaluation, which includes income-risk measure, overall performance, funds' selection abilities, timing abilities, achievement persistence and so on. The author chose income-risk indicators, three classical risk-adjusted index, T-M model, H-M model, autocorrelation test, two-way table, Spearman's test to do a practical research of 2006-2007's 20 open-end funds' performance, which comes to the following conclusions: In a bull market, Chinese open-end fund performance is significantly higher than benchmark market portfolio; Chinese securities market is weak-effective; Fund managers have significant selection capacity and insignificant timing capacity; Fund's absolute short-term performance is not persistent but has long-term persistence; Under the same benchmark, most indicators have significantly positive correlation. This article's feature is to give different benchmarks for different styles fund.This study summarizes to measure the comprehensive performance of Chinese security market, which will provides a practical significance to deepen the movement observation of Chinese stock market and deepen the understanding of organization investors' behavior and the function, so as to promote the development of Chinese fund industry norms.