Study On Investor Education And Equity Protection

Starting from the lessons of the global stock market crash and the survival status of China's securities investors in recent years,this paper discusses the importance of investor education to strengthen their self-protection from both theoretical and practical points of view. Then we study investors' behavour in China by using the questionnaire method from three dimensions—investor's knowledge,psychology and behavior and from seven affecting factors—motive,securities investment Knowledge,awareness of risk,investment philosophy,trading,investment decision-making rule and investment performance.Aiming at these investment characteristics we examines the conservative bias and the reasons for the deviation from mental deviation from the emotional,social psychology and cognitive psychology deviation and from over-confidence,loss aversion,conservatism aversion, excessive fear of selective bias,selecting aversion,gambling psychology,self-attribution,the dependence on the policy bias and rapid money-making psychology.And we analyze investors' several restrictive conditions during investment decision-making including information and knowledge constraints,psychological constraints,funds constraints and external conditions.On the basis of diagnosing analysis of China's investors cognitive bias,this paper analyzes the relationship among investor confidence,investor behaoviour and investor education,and establishes their relationship model;and then this paper makes a event study on the relation between China's government-led investor education and the efficiency of protecting investor's interests which empirically analyzes of the protection of the rights and interests of investors efficiency;furtherly,this paper discriminates the causes of the situation. On the basis of the ananlysis,the thesis makes an empirical analysis on the effect of investor's education by using of the information content model of stock.Then,on the basis of ananlyzing their experience of overseas investor education and their equity protection,this paper discusses the inspiration from overseas investor rights protection mechanisms.Then,this paper probes into the topics of how to strengthen our investor education and protection of their equity issue from the organization system and methodology.In investor education organization,we need to build a multi-level investor education system including a combination of compensatory education and compulsory education which will meet the needs of different investors.In the methodology of investor education,the investor education means,educational contents and forms of education need to be improved.For different investor demands and characteristics,rich content and innovative forms of education,and a lively,accessible,entertaining education activities should be explored.