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CLC number: O212.4
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Received: 2003-04-30
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Empirical study on mutual fund objective classification
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JIN Xue-jun, YANG Xiao-lan. Empirical study on mutual fund objective classification[J]. Journal of Zhejiang University Science A, 2004, 5(5): 533-538.
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author="JIN Xue-jun, YANG Xiao-lan",
journal="Journal of Zhejiang University Science A",
volume="5",
number="5",
pages="533-538",
year="2004",
publisher="Zhejiang University Press & Springer",
doi="10.1631/jzus.2004.0533"
}
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%A YANG Xiao-lan
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%I Zhejiang University Press & Springer
%DOI 10.1631/jzus.2004.0533
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T1 - Empirical study on mutual fund objective classification
A1 - JIN Xue-jun
A1 - YANG Xiao-lan
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DOI - 10.1631/jzus.2004.0533
Abstract: Mutual funds are usually classified on the basis of their objectives. If the activities of mutual funds are consistent with their stated objectives, investors may look at the latter as signals of their risks and incomes. This work analyzes mutual fund objective classification in China by statistical methods of distance analysis and discriminant analysis; and examines whether the stated investment objectives of mutual funds adequately represent their attributes to investors. That is, if mutual funds adhere to their stated objectives, attributes must be heterogeneous between investment objective groups and homogeneous within them. Our conclusion is to some degree, the group of optimized exponential funds is heterogeneous to other groups. As a whole, there exist no significant differences between different objective groups; and 50% of mutual funds are not consistent with their objective groups.
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