| In recent twenty years,fund industry in China has achieved great development.The kind and number and asset size of funds have been improved greatly,and the fund companies tend to issue more than one fund,being like fund families.Comparing with other funds,star funds can attract more attention of fund investors for their shining performance.So can star funds bring more money inflow to themselves and to other funds in their families?If the spillover effect exists,does it have any influence on fund families’ operating strategies?And what kind of return fund investor can get if he subscribes for star funds and funds in star fund family?In this paper,we focus on analyzing these three questions.At the theories part,firstly we elaborate the concept of fund family,star fund,dog fund and the spillover effect of star fund.Then we explain why spillover effect exist from the view of asymmetric information and limited attention theory,momentum effect and anchoring effect,fund family theory,brand effect and representativeness heuristic.Lastly,from the view of agency theory,we argue that if there is spillover effect,fund families may adopt strategies of making star funds and the spillover effect may make an influence on fund investors.In the empirical part,we analyze the three questions mentioned above using the sample of equity open-end funds from first quarter of 2005 to the fourth quarter of 2016.Through unbalanced panel data regression,we conclude that star funds can generate spillover effect.Besides we discover that fund families with large number of equity open-end funds and big standard deviation of performance and severe co shareholding behavior are likely to create star funds by logistic regression.Finally using the method of t test,we find that investors subscribe for star funds can get higher return next period comparing with all funds,but ordinary funds in star fund family do not perform better next period,overall star fund families perform better next period. |
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