Proceedings of the International Conference on Financial Innovation, FinTech and Information Technology, FFIT 2022, October 28-30, 2022, Shenzhen, China

Research Article

A Study with AI Quantization on the Performance Evaluation of Chinese Securities Investment Funds ——Based on the Pharmaceutical Sector

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  • @INPROCEEDINGS{10.4108/eai.28-10-2022.2328448,
        author={Xinyi  Rao},
        title={A Study with AI Quantization on the Performance Evaluation of Chinese Securities Investment Funds ------Based on the Pharmaceutical Sector},
        proceedings={Proceedings of the International Conference on Financial Innovation, FinTech and Information Technology, FFIT 2022, October 28-30, 2022, Shenzhen, China},
        publisher={EAI},
        proceedings_a={FFIT},
        year={2023},
        month={4},
        keywords={pharmaceutical funds; performance evaluation indicators; stock selection and timing ability},
        doi={10.4108/eai.28-10-2022.2328448}
    }
    
  • Xinyi Rao
    Year: 2023
    A Study with AI Quantization on the Performance Evaluation of Chinese Securities Investment Funds ——Based on the Pharmaceutical Sector
    FFIT
    EAI
    DOI: 10.4108/eai.28-10-2022.2328448
Xinyi Rao1,*
  • 1: The University of Aberdeen Aberdeen
*Contact email: zoey_rao@163.com

Abstract

The healthcare sector is getting a lot of attention under the impact of COVID-19 in 2019. The medical and pharmaceutical industry has a very high investment value as an investment that can maintain stable demand and growth certainty over the long term. Since funds occupy such an important position in national investment, it is essential to assess the performance of funds. The research question in this paper is to find indicators that provide a comprehensive, realistic and unbiased picture of the performance of pharmaceutical equity funds. This paper measures the comprehensive performance of the pharmaceutical fund from two aspects. On the one hand, it evaluates the actual performance and earning capacity of the pharmaceutical fund relative to the market benchmark, mainly through the analysis of the fund income index, risk-adjusted earnings index; On the other hand, it evaluates the fund management and returns from the fund manager's ability, focusing on the fund manager's stock selection ability and timing ability. The final conclusions of the study are, most medical funds outperformed the market portfolio and obtained excess returns, In both the T-M and H-M models, a considerable number of pharmaceutical fund managers have this ability in terms of stock selection ability, but only a small number of pharmaceutical fund managers have this ability in terms of timing ability.