China Securities Investment Fund Supervision

As an important investment tool in money market, security investment funds satisfy the investment demand from investors and small and medium sized enterprises effectively, and play a significant role in promoting the economical development. As well, effective supervision of securities investment funds is the fundamental guarantee of its development. China's regulation of security investment funds has experienced a process from loose to strict. With the supervision of securities investment funds of our country is continuously intensified, the development of securities investment funds also gradually becomes more scientific and standardized. However, the rule-breaking operations of some fund governors show the serious defects existing in the regulation of Chinese securities investment fund. This not only blocks the further development of the fund industry, but also causes various attentions of community on how to set up a better system and framework , measures and approaches for the fund regulation.Firstly, This paper gives clear explanation to some related concepts about security investment fund and supervision and regulation of investment funds, also sums up domestic and foreign literature, then it comparatively studies three typical mode of regulation of securities investment funds which are the United States, Britain and Japan . After this, this paper describers the historical changes and the current status of the regulation of Chinese securities investment fund, analyze the current regulation of securities investment funds of China, from the viewpoint of the legal system and the organizational structure two aspects, and draws some conclusions. From the perspective of Play Games, this paper analyzes the behaviors made between fund governors and its supervisors such as Securities Regulatory Commission, fund custody banks and fund holders, pointing out the limitations of China's investment fund supervision in terms of the legal system, the Fund's internal supervision and external supervision. Finally, based on former research, it comes up with some suggestions and countermeasures on how to improve china's fund supervision systems and regulate the behaviors of fund managers.