An Empirical Study Of The Selectivity And Market Timing Of The Chinese Open-end Funds

The fund is one of the important financial investment approaches. With the several-decade years'rapid growth, fund industry has become another backbone of the finance system, following bank industry, security industry and insurance industry. In China, with the issuing of"Security Investment Fund Act"in, the fund industry has stepped into a rapid and healthy development stage. Accordingly, how to evaluate the funds' performance becomes an urgent and indispensable problem. And the market timing ability of fund is one of key indicators of funds' performance. Basing on this point, this article gives a positive study on the market timing ability of Chinese close-ended funds.The typical model HM and TM are utilized to verify the securities-selectivity and market-timing ability of the open-end fund industry of our country. This article has been divided into four parts. The first and second parts give a view of the function and the operation as well as the development of securities investment fund. In the third part, the author defines the conception of market timing ability of securities investment fund, and dissertate its research models and correlative conclusions at home and abroad. The forth part is the keystone of this dissertation. The author picks fifteen close-ended funds as the study sample to take a positive analysis with the help of the funds' market timing ability models. Consequently, there are no enough signs to show that these funds have strong market timing ability, but their market timing ability can be separated into four levers. In the end, several piece of advice are given on how to develop the Selectivity and Market Timing ability of the fund.