A Empirical Study On The Ability Of Stock Selection And Market Timing Of Sunshine Private Found

Since the reform and opening up the financial market in China, has experienced more than 30 years of rapid development. Sunshine private equity funds as an important force in China capital market, also along with the rapid development of economy in our country for their rapid expansion, the great bull market of 2007 make sunshine private was familiar, sunshine private equity funds receding from us mysterious veil, gradually into the line of sight of the broad masses of investors. But due to the following market downturn and policy at the time limitations hindered the further development of the private equity industry, until June 2013 new "fund law" formally promulgated, sunshine private development ushered in a wave of high tide. The bill would private-equity firms into the legal regulation for the first time, mean sunshine private after 10 years of development got to establish the legitimacy of their identity. Then in August 2014, the securities and futures commission released 105 call to arms "interim measures for the supervision and administration of private equity investment fund", means that sunlight private equity industry has become a regular army in China capital market, capital market in our country has occupied a pivotal position. Sunshine private equity fund in recent years rapid development at the same time, its return on investment performance also won the recognition of the broad masses of investors, the sun the emergence of private equity funds provide investors with a new finance and investment channels, its strong vitality also reveals the life cycle of the financial market in China.As the abundance of sunshine private equity fund variety, the increase in the number, its performance has become the primary concern of the general investors, how to evaluate the sunshine private fund products performance, evaluate the private equity fund managers’ investment management is increasingly important. Although at present our country the sun there are many types of private equity funds and strategy, but the vast majority of private funds is still the stock type of private equity funds, so the stock selection ability and timing ability when evaluating sunshine private equity’s performance was the important status and role. This article is from two aspects of stock selection ability and timing ability of sunshine private equity research, tries to understand its investment performance and ability of stock selection and timing relationship, to further improve the current academia to sunlight important research in the field of private equity fund the capital market, has a certain theoretical significance; At the same time, this paper studies on the one hand, for those who have the intention to invest in the sunshine of private equity funds in the high-end customers to provide some valuable reference for investment, on the other hand also sunshine private funds for subsequent research patterns of behavior and its impact on the securities market to lay a solid foundation, has a certain practical significance.In this paper, the sunshine of private equity funds in the stock selection ability and timing ability aspect research, and aiming at the characteristics of the private equity industry issued products in China, the distinguish of different investment strategies, and to choose the most representative long-only type and equity long-short funds for empirical analysis. Theory, mainly introduces the foreign about securities investment fund stock selection ability and timing ability of classical theory model and the current mainstream in sunshine private funds investment strategy; Empirical aspect, this article to our country established before October 2010 and is still in the period of 78 only unstructured sunshine private equity funds from October 2010 to May 2010 weekly earnings data for the stock selection ability and timing ability two aspects of empirical research. In specific empirical analysis, this paper adopts the classic model T-M sunshine private equity fund in China has carried on the empirical test. The results showed that the sunlight in the private equity fund has significant positive stock selection ability, only a small portion of most sunshine private fund manager does not highlight the stock selection ability, and even some sunshine private fund managers have negative stock selection ability, but most of the sunshine private equity shows good significant positive timing. By other stock long-only sunshine type private equity and equity long-short funds comparison study found that two strategies on the stock selection ability of funds performance, and on the timing ability to equity long-only sunshine private equity fund performance is much better than stock sunshine private equity long-short type.