China's Securities Investment Funds Investment Style

The investment-style research in Chinese Fund Industry, mainly focuses on the research of fund investment style-drift. Based on the methods of Morningstar investment-style-boxes-Wind style coefficient, and ex-ante regulations of fund investment-style in contracts and products line and contributions of the fund corporations, we do empirical analysis of the funds'actual investment styles, especially three categories funds (Value-fund, mixed-fund, growth-fund).Through fractural dimension theories, we proved the rationality of the classification of three categories. And through the analysis of funds'deviation from original style, and deviation from the markets'style, and the test of random walk of the style coefficient, we concluded that there exists universal style drift in the market. Furthermore, through the statistical analysis of the style-drift and the return, we concluded that the style-drift itself doesn't contribute to the return. We also analyzed the reasons of the style-drift from the aspects of the scale, net assets and stability of the funds. What's more, we reviewed the governance modes and administration environment of the investment style-drift simply. In last, we concluded in China at present, the investment of the funds really and seriously deviated from the contracts or is lack of the real investment style, which finally results in convergence of the products and fuzzy positioning of the products and defect of the design of the products. Aiming at these problems, we proposed that it is very necessary to adjust the development of the fund industry, and strengthen the administration of the investment style of the fund industry, and improve the evaluation system of the funds, and implement the withdraw system of the funds, and improve the regeneration of the fund products, and reinforce the investor's risk-management education.