Does cross-border investment improve mutual fund performance? Evidence from China

IF 5.2 1区 经济学 Q1 ECONOMICS
Han Han, Zhibin Wang, Xueqing Zhao
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引用次数: 0

Abstract

In this paper, we analyze how Chinese mutual funds' performance is affected by cross-border investments, following the relaxation of investment restrictions on Hong Kong stocks. We find that mutual funds underperform when they increase their H-share holdings, suggesting that easing investment restrictions doesn't improve fund performance. Information asymmetry and the limited ability of fund managers to access H-share information are key factors behind poor performance. And fund managers employ such “bad” strategy to cater to investor preferences. Furthermore, fund managers do not recognize their limitations in investing H-share. We hope our findings give insights into the investment behavior of funds and enhance the development of the Chinese asset management industry.

跨境投资能否提高共同基金的绩效?来自中国的证据
本文分析了港股投资限制放宽后,跨境投资对中国共同基金业绩的影响。我们发现,共同基金在增持 H 股时表现不佳,这表明放宽投资限制并不能提高基金业绩。信息不对称和基金经理获取 H 股信息的能力有限是业绩不佳的关键因素。基金经理采用这种 "糟糕 "的策略是为了迎合投资者的偏好。此外,基金经理并没有认识到他们在投资 H 股方面的局限性。我们希望我们的研究结果能对基金的投资行为有所启示,并促进中国资产管理行业的发展。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
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来源期刊
中国经济评论
中国经济评论 ECONOMICS-
CiteScore
10.60
自引率
4.40%
发文量
380
期刊介绍: The China Economic Review publishes original works of scholarship which add to the knowledge of the economy of China and to economies as a discipline. We seek, in particular, papers dealing with policy, performance and institutional change. Empirical papers normally use a formal model, a data set, and standard statistical techniques. Submissions are subjected to double-blind peer review.
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