From: First Financial Daily
Compiler: http://www.fundcn.org

Shanghai Stock Index farewell 4,000-point mark, the market turnover remained low. Yesterday, though index rebound but turnover in Shanghai has fallen to 100 billion yuan, a record three months since the low point. Stock largest institutional investors, fund groups operating cautious stock market is expressed in one of the reasons.

According to the “First Financial Daily” know, in the current point, as regards news surface there are a considerable number of variables. lead to the fund managers did not dare to their respective positions at the ratio of a large-scale operation.

A fund industry, the current market transactions is limited, and fund investors recently, a reaction also associated. As long a wait-and-see, a lot of fund investors has changed the previous “do post” “do-band” and “do short-term” thinking. In particular, the market is pre-shocks, from the fund company’s information shows that there is no large-scale redemption of the situation. In such a situation, the fund managers do not have to deal with large-scale redemption and frequent operation, This is a result of recent market transactions severe significantly lower.

However, some market participants worry that because of other factors lead to large-scale fund investors redeemed funds, will be forced to open-end fund managers continue to lower positions at the ratio of the hands, market transactions will lead to institutional investors because of the “collective action” and suddenly enlarge thereby boosting the market for a new regional balance of volume and price.

Copyright Fund China 2009.

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