Research On The Earnings Rate Characteristics And Risk Evaluation Of China's Money Market Fund Internet Financial Products

The development of the Internet channel has brought new opportunities for many industries.In recent years,many professions have begun to touch the Internet,follow the trend,china's Internet financial model has been developing rapidly.Nowadays,the new internet financial pattern are penetrating into ours' daily life,accompanied with the traditional pattern to form a format of complement each other and promote each other.The year of 2013 was a turning point in the history of China's financial industry,such as P2 P,Crowdfunding,insurance companies,online fund and various types of Internet financial models have emerged,which have made breakthrough progress in the scale,business and the service,among them,Yu'E Bao is a typical Internet money market fund product,the public widely amazed at it for the sharp growth of users' number and the straight expansion of its' capital scale.The reason why Yu'E Bao is so popular because it changes the inherent concept of traditional financial and gives the penny in customers' pocket a large space for value adding,besides,it can get profit far more than the bank current deposit,it can help you enjoy higher cash liquidity and free access to your fund money.Now,the users' scale of pocket money investment is unprecedented huge.And Users' recognition of product will inevitably affects the sustainable development of the new financial market.As the authorities,help users to achieve rational investment will be a long way to go.The uncertainty of earning rate volatility is the dominant factor affecting investors' psychology and investment behavior.In view of these,this paper introduces the econometric method,selects 5 well-known Internet monetary fund financial products,and uses their earning rate sequence as the research object to analyze the basic characteristics of the sequence distribution and the most suitable econometric model.Firstly,we need to judge whether the earning rate sequence of sample products has ARCH effect,if the result is positive,we can further use GARCH-class models to research the characteristic of yield sequence,and then,toanalyze the reason why it is asymmetery.Furthermore,we can combine the formulate of VaR to quantify the risk value of each product,and conduct Kupiec failure frequency test.The results show that EGARCH-VaR model under GED distribution can effectively measure the risk of monetary fund financial products on the Internet.So the risk of such products is measurable and controllable.There is a certain gap between the risks of different products,indicating that investors should have a certain sense of risk prevention and should learn to select investment products rationally.