The Current State Of China's Securities Investment Fund Industry Analysis And The Corresponding Countermeasures

From its origin to today, security foundation industry already has a development history of more than 80 years. It has been proved that foundation industry has made remarkable contribution to optimizing the security market or even the whole country, and to improving the social efficiency.Foundation in China was initial public offered in 1998. Within the 4-year period, it achieved pleasing performance, but also many worrying events occurred.This article analyses the current investment environment of foundation in China that have been the special phenomenon of China or problems that had appeared in the early development of foundation in western countries.On the basis of analyzing above investment environment and important events occurred in the industry of foundation, this article brings up the following problems emerging from the operation process of foundation.Firstly, the author stressed the moral crisis of the fund industry; and hidden dangers are still existing in the internal control system of fund management companies; industrial supervision is far from enough. The industry lacks a system of competition and inspiration; the styles of investment fund are tedious and monotonous.In the light of the above analysis, the writer suggests the following opinion:Firstly, to strengthen the professional education of employees, especially in the area of professional moral and set up the system of training, testing and sanction.Secondly, to draw on the experience of western countries, and use policies and regulations to supervise and control the operation of the fund. Thirdly, we should strengthen the research and application, which are suitable for the situation in China. Frothily, the fund management companies should positively research the market demand, properly introduce new fund and create new investment style.Fifthly, to broaden service to the messes. At last, to set up joint venture asset management companies and large finance groups. Since the developing time of security market is still rather short, the data accumulation is lacked. In addition, the industry has a high level of privacy, except the season report or year report required by law, data are not made public, so the writer could not analyze them by quantitative method, thus making the article lack of vertical and horizontal comparison. Further more, because the material limits, the article could not provide construction advises in accordance with the events that had been occurred in the development process of security investment fund in western countries. The writer is deeply regretful as this respect.