CAN MANAGEMENT FEES AND CASH DIVIDENDS MAINLY EXPLAIN THE DISCOUNTS OF CLOSED-END FUNDS IN CHINA'S STOCK MARKETS

摘要

since May 19 Change in 1999, the closed-end finds early issued began to sell at discounts relative to their net asset value (NAV). This paper focuses on analyzing whether management fees and distributed cash dividends in funds can mainly account for the discounts of China's closed-end funds. The empirical results generally refused the above hypothesis, but imply that management fees and distributed cash dividends may explain part of the discounts. Furthermore, tests also imply that there should be other force to drive discounts of various funds to move together in the same direction, and such force plays opposite role in market indies and closed-end funds. Such force is expected to relate with psychology expectation of investors.