Green Open-end Funds: Performance, Investor Attention And Fund Flow

The green open-end fund has experienced rapid development in the past ten years,and its scale and variety have made great progress.However,in terms of structure and value transmission mechanism,there is still a big gap with developed countries.Studying the performance and financial flows of green funds can not only subdivide domestic mutual fund research,expand and test,utual fund research methods,but also provide better empirical experience for policy makers and investors in related fields,thereby leveraging the strong capital of the mutual fund industry.The power to lead more companies to green investment and compliance has great practical and theoretical significance.However,domestic papers often use the entire fund market as the research subject,or execute large-scale research concerning CSR mutual funds.But the research on its important component,the green fund,is rare.This paper takes more than 90 green open-end funds in China as the research object,trying to reveal the relationship between the performance of green open-end funds,investors' attention and cash flow.Firstly,this paper combs the background and current situation of the development of green open-end funds in China and the composition of investors,and finds out the characteristics of the development of green open-end funds in China at current stage.Secondly,this paper selects 30 samples of green funds from 2015 to 2018,and uses single-factor model and Fama-French threefactor model to carry out multi-level performance analysis.In addition,18 sample funds with Baidu Index tracing are selected as the proxy variable of investors' attention,and the relationship between Baidu Index and cash flow and fund performance is studied in detail by using panel data regression method.The results show that:(1)China's green open-end funds have relatively small risks,but their performance is flat,which can not make a significant difference from the traditional funds and the stock market;(2)the weak management ability of fund management companies to green funds,which leads to the value investment orientation of green open-end funds can not reach the hearts of the people;(3)the net flow of green funds is positively correlated with investors' attention,and is positively related to the previous performance.There is also a positive correlation,and there is no "redemption anomaly",which is contrary to the conclusions of some domestic scholars on the whole fund market;(4)Green fund investors love small and short-lived green funds,which reflects investors' investment preferences.Based on this conclusion,this paper gives a number of policy recommendations.