Research On Herding Behavior Of Securities Investment Funds

In the 2018 years,under the background of Sino-US trade frictions and internal hidden dangers,the development of China's real economy has entered a bottleneck period,facing problems such as continued slowdown in investment growth,increased export risks,and insufficient social consumption power.At this time,the importance of the position of the capital market in China's economic development has become more prominent.However,in fact,fund managers are often influenced by psychological factors other than market factors in decision-making,leading to cognitive bias,coupled with information advantages,and ultimately irrational investment behavior,causing abnormal market volatility.Therefore,the investment behavior of securities investment funds has been repeatedly questioned and attracted widespread attention in the academic community,including the herd behavior of securities investment funds.At present,most studies on herd behavior use institutional heavyweight stock data,and then test the performance of securities investment funds in the stock market herding behavior.At present,China's securities investment funds have confirmed herding behavior.It is well known that the 2015 stock market crash is an event that has a significant impact on the stock market.When the stock market is in a rising and falling state,investors may show different investment behaviors,but there are few studies in the current research involving the market.The performance of group behavior.Therefore,based on the empirical data of the A-share market,the empirical test of the performance of China's securities investment fund herding behavior from 2012 to 2016,and the performance of the stock market crash in 2015,when the market is rising and falling in each year the performance of herd behavior.First,a theoretical analysis of the causes and effects of the behavior of the securities investment fund's herd behavior.The causes include external and internal factors.The external factors include:the imbalance of the hierarchical structure of China's securities market,the unstable source of funds,the lack of a long-term investment eco-chain;the quality of listed companies in the market is not high,the investment value is lacking,and the company's information disclosure is ot standardized.The effectiveness of market information has been weakened;internal reasons are divided into fund management companies and fund managers.The influence of herd behavior is analyzed from both positive and negative impacts.Positive influences include fostering market formation of value investment ideas and stabilizing stock price fluctuations;negative influences have increased stock price volatility and reduced market information efficiency.Then,this paper introduces the current research methods of the securities industry's herd behavior in the academic world,including LSV model,PCM method,CSSD model and CSAD model.Since the LSV model only considers the number of buyers and sellers,ignores the transaction volume,and cannot distinguish the difference in the model of long-term investment,the PCM method accounts for a large proportion of analysts with large capital.When the stock price changes,it may measure the false sheep.The problem of group behavior,CSSD model does not give a clear definition of the measure of extreme returns.This paper chooses CSAD model as the test method of herd behavior.In addition,this paper uses the CSAD model to test the behavior of China's securities investment fund herding from 2012 to 2016.The conclusions of the study are as follows:(1)The existence of herd behavior after the inspection of the overall data of China's securities investment funds from 2012 to 2016.(2)Two methods were adopted for the study on August 24th of the 2015 stock market disaster date,which were to test the data that did not include 2015,and to test the segmentation points on August 24,2015.After the test,it was found that the data of the herd of 2015 was still present and significantly decreased.With the 2015 stock-disaster day August 24 as the segmentation point,the data herd behavior after this date is more significant.It can be seen that the occurrence of the stock market crash in 2015 has intensified the behavior of the herd.(3)After examining the data of each year,it was found that there were only herding behaviors in 2013,2015 and 2016.(4)After separately studying the behavior of the herd in the rising and falling markets of each year,it was found that when the market was in the rising stage,there was only obvious herding behavior in 2013.When the market is in a down phase,there is no obvious herding behavior within five years.Finally,this paper puts forward some suggestions based on the reasons and conclusions of herd behavior,including:always insisting on developing institutional investors to help the development of the real economy;injecting high-quality power into the securities market,standardizing information disclosure behavior;improving multi-level capital markets,Steady development of the bond market;strengthen industry self-discipline and improve the fair market competition environment.