Case Study Of H Mutual Fund Internal Control

The mutual fund industry is a new product in China's financial market.After 20 years of development,it is in the ascendant.Because of its strong liquidity and low investment threshold,it is welcomed by institutional investors and individual investors.At the end of the first quarter of 2018,the net assets of mutual funds reached a scale of 12.25 trillion yuan,which occupies an important place in the financial market.During the rapid growth of the mutual fund,it has been in a state of exploration.The internal management of the industry has not yet fully matured,there are flaws in the control process of internal and external risks,and there are defects in the internal control system.Mutual funds only pay attention to the construction of their own internal control systems and improve their work,and enhance their ability to resist risks in order to obtain healthy development.This article is based on improving the internal control of China's mutual fund industry at this stage and making recommendations in the form of case studies.This article chooses the internal control of the H mutual fund as the research object.The H mutual fund is in the middle and upper reaches of the industry and grows quickly.The internal control system is relatively complete.This article analyzes its internal control system,discusses in depth the internal control system status of the mutual fund internal environment,risk assessment,control activities,information and communication,and internal supervision.It evaluates the internal control advantages of the H mutual fund and deepens its problems.the study.The problems found in this paper include the following three points: The first is the investment decision-making mechanism.The mutual fund is initiated by several individuals.The fund investment decision has the phenomenon of “one word”;second,the channel sales control is insufficient,and the channels are not properly monitored;The third is the issue of liquidity risk exposure of open mutual funds,and the fund's liquidity control plan is too simple.Afterwards,it puts forward suggestions to improve the internal control system of the mutual fund.First,it must promote the management of investment decisions in the division department,give the fund manager independent investment decision-making power and corresponding incentive mechanism,and bring into play the role of talented people;Second,provide quality information through the management channel organization and screening.Channel management of services,return management of channel data,and spot-check sales channel compliance,etc.,strengthen the sales management of mutual funds,and the third is to stress test the liquidity of open-end funds and handle liquidity risks.Through these aspects,the internal control system of the H Mutual Offering Fund is strengthened,and at the same time,it hopes to provide reference for the mutual fund industry.