The Effect Of Stock Selection Indicators On The Performance Of Equity Funds

After more than 20 years of development,China's fund industry has experienced explosive growth,and the scale of the industry has continued to expand.It has become an important part of the financial market.It has played an important role in supporting the real economy and serving the real economy.It is also enriching the supply of financial products.It has played an active role in promoting the deepening of the financial market and meeting the diversified capital allocation needs of investors.Therefore,the investment and performance of the fund has always been a matter of great concern to thousands of investors.The research on the factors affecting the performance of the fund has always been the research focus and direction of everyone.This paper mainly studies the impact of fund stock selection indicators on fiund performance.Therefore,this paper analyzes and summarizes the stock holding characteristics of three stock funds,from the stock level of fund stock selection factors(fund holdings,fund asset allocation)and industry level.(The industry selection of the fund and the industry allocation of the fund)respectively study the impact of fund selection indicators on fund performance.This paper firstly introduces the development history and current situation of China's fund industry,and summarizes the domestic and foreign scholars'research on the factors affecting the performance of funds and the measurement methods of fund performance,and theoretically analyzes the impact of fund selection indicators on fund performance.On this basis,the index selection of the fund stock selection index is carried out,and then the structural equation model is used to quantitatively study the relationship between the two.The first phase of the empirical use of SPSS software to change the stock from the fund and the asset allocation of the fund,the fund's industry selection and the fund's industry configuration,respectively,the data is tested for reliability and validity,and the effective indicators are selected for these variables.The second phase of the empirical use of AMOS software is between the fund stock selection index and the fund performance.The relationship is empirically studied.The study found that the fund's industry allocation and fund asset allocation have a positive impact on the fund's performance.That is,in the fund's industry allocation,funds that invest in specific industries understand the current situation and prospects of the industry.The higher the fund's investment concentration,the better the fund's performance;in the fund's asset allocation,if the fund's shareholding ratio is high,it indicates that institutional investors are optimistic about the market outlook,so it will drive a large number of small and medium-sized retail investors to enter together,thus pulling the stock price.Rising,which drove the fund's performance.The fund's shareholding changes and the fund's industry choices have a negative impact on the fund's performance.In the fund's shareholding changes,frequent fund share changes will significantly increase the fund's transaction costs,which will adversely affect the fund's performance.In terms of the industry selection of the fund,the stocks of the GEM stocks in 2016-2018 and the trade frictions between China and the United States led to the unsatisfactory performance of the emerging technology industry and the GEM stocks,which affected the fund's performance.