Open-end Fund Analysis, The Impact Of Stock Market Volatility

In the environment of a high dedree of stock market development and opening up, the potential market risk was exposed and deepened. The volatility has become an important indicator of the market risk, In order to stabilize the stock market and promote its healthy and orderly development, it's need to control risk to reduce the risk of an acceptable level, thereby reducing the volatility of the market rate of vibration. Market diversification of the investment group to become one of the options. On this basis, securities investment funds have been developing vigorously, especially in open-end funds. With the development of open-end funds, the size of open-end funds account for the market share of the increase in proportion to speed up, Open-end funds impact on the volatility of the stock market gradually deepening. Around the topic of the fund impact on the volatility of the market : indensified or stabilitied has became the focus.The theme of this paper is to explore open-end funds on the stock market volatility, From the study of the characteristics, the introduction of open-end funds, and through comparative analysis revealed that the open-end funds impact on the stock market volatility.In this paper: the first part of the article is to focuse on the concept of open-end funds as well as the characteristics of the development of the status quo. The second part is to introduce the relevant theories of the volatility in the stock market, including the volatility of the measure, factors and features,. The third part from the perspective of the behavioral finance to analyse the herd behavior, manipulation and the positive feedback trading, how to impact on the stock market volatility. the fourth part is based on the third part to discuss, the first is to apply the empirical methods to analyse the Shanghai Composite Index yield on the characteristics of volatility, followed by the establishment of GARCH model and the EGARCH model to analyse the open-end funds impact on the volatility of the stock market specifically, at last reach the conclusions.The purpose of study is, specifically analyse the impaction of open-end funds on the volatility of the stock market, is increased or stable.On the basis of which, combined with China's actual, analyse the reasons of this phenomenon. In this paper, through the analysis that the funds exacerbated the market volatility. In different market conditions, the fund did not demonstrate the stability, on the contrary to show the intensification. Thus conclusions that the open-end funds exacerbated the stock market's volatility. After analysis of the specific reasons of the conclusion. This article hopes to the study, To learn more about the open-end fund impact on the market volatility, to provide some ideas that how to the open-end funds for the further development and stabilize market.