The Influence Of Dimission Pressure Of Fund Manager On Fund Performance

Dimission pressure is an important branch of work pressure.Studies have shown that the pressure of leaving a job can lead to a series of serious consequences,such as depression,overwork and mental illness.At present,the increasing pressure of employees has aroused social concern,and the academic circle has also conducted an in-depth study on the dimission pressure.Domestic and foreign scholars focus on the impact of turnover pressure on work performance,and there is no consensus on this issue in existing literature.According to incentive theory,proper dimission pressure can stimulate the potential of employees and urge them to work harder.However,the conflict theory holds that excessive dimission pressure will have a negative impact on employees' physical and mental health,reduce work efficiency,cause employee burnout,and thus reduce work performance.In the research context of existing literature,employees do not make decisions as individual individuals,but as a team composed of several individuals.Therefore,the dimission pressure faced by employees will be affected by the team.Moreover,in this form of decision making,the decisions are made by the team,and it is difficult to distinguish the work performance of individual employees.Therefore,the existing literatures often measure the dimission pressure through questionnaire interview and scale,in which a series of subjective factors are mixed,and there is no objective evaluation of the dimission pressure.In view of the limitations of the existing literature,this paper locates the fund industry and studies the impact of dimission pressure on fund managers.Under the current fund decision-making system in China,asset allocation decisions made by fund managers can clearly distinguish the performance of each fund manager.Using objective performance data to measure the pressure on fund managers to leave can help blunt the impact of a team.At the same time,China's fund industry is a highly mobile industry,fund managers are facing great pressure to leave.China's fund is mainly a contractual fund,with two layers of principal-agent relationship.The first layer of fund management company accepts the entrustment of the fund holders(the ultimate principals),manages the assets of the ultimate principals,and makes investment portfolio on their assets.The second layer is that the fund management company delivers the asset to the fund manager for management.In such two layers of the framework of principal-agent relationship,fund managers is the most direct managers,have more information on the portfolio,so fund investors and fund managers,there are serious information asymmetry,fund investors to supervise the behavior of the fund manager,fund management companies tend to negative incentive mechanism to constraint of fund managers,so as to reduce the agency problem of moral hazard,investor protection fund.The most direct manifestation of negative incentive is that fund companies will fire fund managers with poor performance,namely the elimination system at the bottom.As a result,incumbent fund managers are very worried about being fired for underperformance.As the number of funds in China keeps increasing,fund rating agencies rank fund performance every day,which has become an important basis for fund investors to understand fund managers'operation ability and buy and sell funds.As a result,fund managers are under intense pressure.Therefore,it can be seen that the dimission pressure of fund managers is very prominent,and in the fund industry,the measurement of dimission pressure can also be based on open and objective fund performance data.To sum up,this paper locates the situation of fund and discusses the influence of dimission pressure on fund managers.Based on the above analysis,this paper starts from the dimission pressure of fund managers to discuss the impact of dimission pressure on fund performance and the influencing mechanism.In this way,we can have a deeper understanding of the internal relationship between dimission pressure and fund performance and broaden the cognition of influencing factors of fund performance.This paper not only enriches the existing literature,but also provides empirical evidence to help fund management companies to strengthen organizational management and fund managers to actively respond to pressure.In this paper,empirical research on the fund manager turnover pressure influence on fund performance,the study found that:(1)the fund manager's departure pressure showed significant negative correlation with the fund performance,namely low compared to the exit pressure of fund company,leaving less high pressure performance of fund company,and in the performance of fund managers low-ranking,the negative effect is more significant.(2)for fund managers with poor performance,the greater the dimission pressure they face,the more likely they will choose high-risk investment strategies.This kind of risky behavior leads to the decline of fund performance.(3)Finally,considering the change of managers,there is no significant relationship between dimission pressure of fund managers and fund performance in the samples of two years before the general manager leaves office,while there is a significant negative correlation between dimission pressure and fund performance in the samples of two years after the new general manager takes office.