Volatility In Financial Stocks About Sse 180 Financial Index

Banking, insurance, securities are special kinds of enterprises in one country. The financial position is very important in the economy. In particular, from the financial system, The commercial banks, it is the primary transmitters of the central bank's monetary policy. From the system point of view, it is the hub of one of the modern socio-economic functioning. They yield to some extent reflect the country's economic development and market development situation, so I want to study the volatility of the detailed systematic 180 financial stocks.The SSE 180 Index is announced by Shanghai Stock Exchange and China Securities Index on December 10, 2007 . The SSE 180 Index selected banks, insurance, securities .They are the composition of samples of the stock shares, based on the SSE 180 Index (June 28, 2002)and the basis points is 1,000 points.The SSE 180 Index is using limit the weight of the weighting methods to improve the anti-manipulation of the index, comparative fit index as the underlying investors,the methods is accepted by international; The SSE 180 Index is services industry in Shanghai and Shenzhen, there are strong industry representation; its financial targets, valuation indicators and historical performance, the financial profitability of The SSE 180 good, valuations are relatively low, large blue-chip features significant; its 2003 annual average daily turnover since the situation is also highlights a more high liquidity.In particular, the current market index fund is the subject index there is no industry index, which makes investors lost a substantial share from the industry index of the relative benefits of growth. The SSE 180 was launched, which providing the industry's investment in the subject of indexation for investors to share more financial industry which has brought strong growth opportunities. The ARCH model with The SSE 180 Index on the empirical analysis, compare with the Shanghai Composite Index, The Dow Jones Industrial Average Index.The rate of return and volatility on the analysis of the relationship between them, which is the building of China's financial market has a relatively great practical significance.