Based On The DEA Method Of Chinese Open-end Equity Funds Performance Research

With the rapid development and optimization of Chinese capital market, fund industry is playing a vital role in the whole financial system, among which, open-end stock funds reflecting investment strength is getting increasingly significant. At present, traditional fund performance evaluating methods guided by net worth growth and average profits fail to measure the various influencing factors of open-end stock funds objectively, generally and efficiently. With a view to better studying the fund performance, this paper adopts the data envelop analysis method, combining traditional fund performance evaluating indexes and principal components analysis, to construct a comprehensive fund performance evaluating system, which contains various factors such as fund risks, risk performance,managers competency and cost expenses.First, the paper evaluates the traditional methods of fund performance evaluation and innovative DEA method, pointing out the superiority of DEA method.For example,it can avoid the market brenchmark and risk-free interest rate selection problem; meanwhile, indexes such as cost expenses,risks, profits can be introduced into the model to realize the comprehensive measuring of fund performance, without considering the wright and relation among various indexes.The sample funds of the paper contains all 70 open-end stock funds established before 2007, and covers 40 fund managing companies. The period ranges from July 1st, 2011 to July 1st, 2015, between which, the first 2 years are bear market, the later 2 years are bull market. Then the paper conducts performance analysis from four perspectives, which are investment styles, fund scale, fund performance consistency and fund companies.The results show that the proportion of index fund is higher than average stock funds. The higher the passive degree is, the greater the proportion of the available fund is, and the average ETF efficiency level of innovative fund products in bear market is closer to 1. There is no scale effect on fund performance, and funds with smaller scales perform better. Fund performances of two periods get from CPR method present obvious reversibility. Though Spearman correlation test, we find out that performance levels of fund companies has no certain relation with open-end fund quantities and total open-end fund assets.Finally, the paper provides suggestions and measures from supervision department, fund managers and investor perspectives.