A Comparative Study On The Various Automatic Investment Plan Of Mutual Fund

Since 2005,in China's capital market,more and more kinds of fund products which are invested by the method of ‘dollar cost averaging'(DCA),regarded as a effective investment code in the fluctuating money market,have been designed and pushed by financial institutions.Because of its investment characteristic,DCA fund products has cheered investors.However,many financial institutions have to keep going on optimizing the strategy of DCA in response to the fierce competition and the stock market volatility.In this paper,I firstly review the literature on the history and the development of DCA.Then,I formulated 3 kinds of observation period:Sep,2010 to Aug,2015;Sep,2012 to Aug,2015;Sep,2014 to Aug,2015.Simultaneously,8 samples are randomly selected from the index funds,stock funds,hybrid funds and bond funds.I measure the past performance by the stimulated investment to the four funds products.And also,I try to improve the withdrawal mechanism of the new-style DCA which was intelligent designed to avoid the market risk and maximize the profit.Result indicated that comparing traditional investment method,ordinary DCA method is more efficient than the former one;comparing with ordinary DCA method,the intelligent DCA method is more smart than the former one;among the 3 kinds of intelligent DCA,the method of averaging deviation is the most efficient one;comparing with other kinds of fund,the index funds can offer the best reward when they are invested by the method of DCA.