Based on the fact that open-ended fund has become an important financial tool in Chinese family, this paper takes stock investment open-ended fund as the research subject and analyses the factors affecting the return rate of it. After summarizing related research results from both abroad and domestic, this paper tries to analyze how those factors affect the return rate of stock investment open-ended fund, which include selectivity, marketing timing, performance persistence, asset scale, turnover ratio, expense ratio, manager change frequency, concentration on stocks, etc.This paper takes 189 stock investment open-ended fund as research samples, which must have established before 2008, and focus on their performance during 2006 to 2010. Using the TM model and HM model, this paper finds out that selectivity and marketing timing have effect on the return rate of fund. Under different stork market trends, fund managers have different performance on these two abilities. With nonparametric tests, this paper finds out that the return rate shows persistence only under constant stork market trends. The turnover ratio and manager change frequency have negative correlation with the return rate of funds. The asset scale, expense ratio and concentration on stocks have little to do with return rate of funds. Finally, this paper gives a suggestion to investors that they should pay attention to the professional ability of fund managers, take the fund's performance of previous several months as reference and prefer the funds with lower manager change frequency and lower turnover ratio. It also tells fund management companies how to make improvements. |