Research On Risk Control Of Private Securities Investment Fund Based On VaR Model

Private equity investment fund is a new type of investment method.After years of development,it is also growing.Now it has become a popular investment tool.Of course,while private equity investment funds are developing rapidly,they are also facing many risks.It is of great significance to further strengthen the research on risk control of private equity investment funds.In this study,this paper selects 32 private equity investment funds with different styles,and studies the reality of their risk control.First of all,it expounds the research background and significance of this paper,combs the relevant domestic and foreign research literature on risk control of private equity investment funds,and according to the relevant theories of private equity investment funds,it analyzes the current situation of investment risk control of private equity investment funds in detail,including risk identification,risk control measures and risk assessment,and expounds the necessity of building risk control strategies.Then,based on VaR model,the paper makes an empirical analysis on the investment risk of private equity investment funds.Through the collection of historical quarterly report data of 32 private equity investment funds from January 2019 to December 2021,based on VaR model,it is calculated that the loss of investment portfolio is positively related to market risk in a fixed period of time,and the risk influencing factors affecting private equity investment funds are analyzed and studied.It is found that the risk control of private securities is greatly affected by the risk control of stock market;Strong fund company strength,diversified investment,and the participation of institutional investors are conducive to reducing the risk of private equity funds;The relationship between fund risk and fund size is U-shaped,and excessive fund size will increase fund risk;The fund companies select experienced fund managers and reduce the replacement of fund managers,which is conducive to the risk management of private funds.Finally,through the empirical conclusions and put forward one by one referential suggestions.The research on the risk status quo and problems of private equity investment funds will help private equity investment funds improve their risk management and control level and promote more sustainable development of private equity investment funds,which is also of great practical significance to maintain the stability of China’s financial market and help more investors obtain stable returns.