On The Protection Of The Interests Of Investors In Securities Investment Funds

Farthest protecting the interests of the fund investors is the legislative tenet of fund law and the core of the investment fund governance in all the countries. This essay makes systemic and profound discussion on the risks faced by fund investors and how to prevent these risks by systemic arrangements and governmental supervision.First of all, this essay makes a comparative analysis on current legal systems of investment fund adopted by all the countries and explains the disadvantages to protecting the interests of fund investors due to the internal defects of these legal systems and the systemic arrangements mainly used to protect the interests of the fund investors.Second, the essay reveals the inevitability of the fund managers'moral hazard resulted from the asymmetric information in securities fund market and the inherent contradiction of interests between the fund managers and the fund investors Last, comprehensive discussion on how to prevent the moral hazard of fund managers has been made from three aspects: the internal governance, the external governance and the third party governance. In addition, combined with the practical problems in the securities investment fund of our country, some practical measures aiming at the interest protection of fund investors have been put forward.The most outstanding characteristics of the essay are as follows:1. As far as the internal governance is concerned, this essay mainly introduces the independent director system of the company-type fund as represented by America. It will have great significance to introduce this system into the trust-type fund of our country.2. When discussing the risks faced by the fund investors, the essay introduces some economic concepts and perspectives, such as moral hazard and rational indifference.3. The content of the essay is combined with the practice firmly. On the system design, the essay puts forward not only the theoretical plan but also some personal views on the practical feasibility.4. Also do some comparative research on the difference of the protection of fund investors between the company-type fund and the trust-type fund, the closed fund and the open-end fund and put forward some suggestions of policy to the development of securities investment fund of our country during the discussion.