China's Open-end Fund Performance Measurement System And Empirical Analysis

Open-end fund is one of the most popular financial instruments in the word financial markets and also a main style of financial trust instruments. In recent years, open-end fund has got a rapid development in china and has played a greater role than close-end fund, so it can be said the Chinese fund industry is been developed in an international way. For any country, the performance measurement of fund is an indispensable part of the management of investment fund. But in china, the research for the fund performance measurement is currently limited in close-end fund. As a result, it is necessary and urgent to construct an objective and just fund's performance revaluation system.Firstly, this paper gives a general introduction of open-end fund and makes a simple analysis of the existing system for fund performance revaluation by describing the ways of performance measurement and its latest development.Secondly, this paper put forward the principles of design fund performance revaluation system and further set up a new one at the basis of figuring out the faults found in the existing system.In the end, the paper makes a research on the five open-end funds which were formed earliest and chooses different indexes to make an entropy analysis during the period from 31st, December, 2002 to 31st, December, 2004.The innovation point of thesis lies in the construction of the performance revaluation system suitable for Chinese open-end fund and measuring the liquidity of the open-end fund in the Var model.