An Empirical Study Of FPR In Chinese Open-end Fund Market-Based On The Semi-parametric Model

With the improvement and development of China's financial market,open-end funds have been preferred by more and more publicinvestors with its low threshold,diversified investment and specialized management.Open-end funds have become an important way for public investors to allocate assets,share capital market dividends and realize asset value appreciation.In the mechanism design of open-end funds,investors' purchase and redemption behavior createaindirect incentive mechanism for fund managers through the transmission mechanism of "fund performance--purchase and redemptionbehavior--scale change--management fee change".However,in the study of China's fund market,many studies show that there may exist so-called "redemption anomaly" in China's fund market.The poor performance of fund performance will not lead to the outflow of funds,or even increase the inflow of funds.This means that the incentive mechanism of China's fund market is distorted to a certain extent,which is very unfavorable to the long-term healthy development of China's fund market.This paper studies the basic hypothesis in the design of incentive mechanism of open-end public offering funds,that the relationship between fund inflow and fund performance,and explores whether there exists a mismatch between fund inflow and fund performance in China's fund market.Considering the influence of behavioral finance theories such as "calendar effect" and "prospect theory" on fund market,based on semi-parametric regression model,this paper makes an empirical study on the relationship between fund inflow and fund performance in different seasons and market conditions.The study finds that,there is no so-called "redemption anomaly" in fund market in China.There is a clear positive relationship between fund inflow and performance.In China's fund market,investors pay more attention to the return of the fund,but are less sensitive to the risk of the fund.Investors will chase the "superstar fund" in the market.