The Research On Performance Evaluation Of Internet Money Fund In China

Yu'ebao launched by Tianhong Fund and Alipay in June 2013 not only concentrated a large amount of idle funds in the society,but also expanded the investment channels of the low-income class in the society.It also broke the inherent monopoly of traditional commercial banks' financial management and stimulated the bank funds.The Internet of products,along with more and more Internet money fund products,have sprung up,which has promoted the rapid development of the entire financial system.At the beginning of the Internet Money Fund,investors favored the simplicity of its operation and the human experience of the customer experience,especially its profit rate has always been higher than the bank demand deposit.However,after nearly six years of development,the many advantages of Internet money funds are still the same.Under the circumstance of the continuous decline of the stock market and the slowdown of the domestic economic growth,under the complicated economic situation such as the Sino-US trade war and the real estate financial bubble,whether the profit rate most concerned by investors has decreased,and whether the risk level has increased.What changes have occurred in the Internet Money Fund products themselves.From the perspective of financial risk prevention and correct evaluation of fund management performance,these issues deserve our deep thinking and research.This paper first defines and summarizes the related concepts and theoretical basis of the performance evaluation of Internet money funds.Then,taking the case of Yu'ebao as an example,this paper analyzes the development status of Internet money funds,and concludes that Internet money funds have problems such as falling yield and legal risks.Subsequently,after the introduction of business performance evaluation indicators and measurement methods,the seven-day annualized rate of return of five Internet money funds and 40 traditional money funds were selected as samples,and the time span was from June 1 to 20,2016.On September 28 th,the comprehensive seven-day annualized return rate weighted by the SHIBOR interest rate and the national debt index was used as the benchmark interest rate.Four traditional factor evaluation methods,three classic index methods,VaR-GARCH model and DEA model were used.This is also the innovation of this paper: a combination of various methods to evaluate the efficiency of the money fund,including the DEA model and the VaR-GARCH model.The method is empirically analyzed and the conclusions are drawn.First,the overall performance of the Internet money fund is better than that of the traditional money fund,but the advantage is significantly reduced compared with the initial stage of its product launch.Second,the average value of the VaR calculated by the Internet money fund sample is smaller than the traditional one.Monetary funds,but some samples are not ranked high,so risk prevention and control is still worthy of attention;third,some traditional money funds perform well,and will form a strong competition with Internet money funds.Finally,based on the results of qualitative analysis and empirical analysis,the countermeasures and suggestions for improving the performance of Internet money funds are proposed from the perspectives of Internet companies,fund management companies,government departments and investors.