This paper constituted a new sort of T-M model and H-M model,and found out that fund manager adjustment does not improve securities selection and market timing of funds in Chinese stock market.

In this paper, we analyze open-end funds selectivity and market timing ability under volatility clustering , through adding GARCH(Generalized Auto-Regressive Conditional Heteroskedastic) model to T-M (Treynor and Mazuy) and H-M(Henriksson and Merton) models ,using the weekly returns of 15 open funds established before 2003.

We used several indicators such as compound return on net value, geometrical yield, sharp ratio, M2 value to evaluate the performance of the sample products, and also took an empirical study for the stock selection and market timing.

The Research on the Market Timing Ability of Chinese Mutual Funds;

Our paper tests recent market timing ability and security selection ability of open-end mutual funds in China.

The securities-selectivity ability and market-timing ability of fund managers is the source of excess return of funds.

Empirical Analysis on Volatility Timing Ability of Open-End Funds;

In this paper,we employ the modified single-factor model that evaluate portfolio s performance of portfolio and combines to FF3 model to investigate volatility timing of open-end funds in China by using of parameter methods.

In this paper,we introduce the return timing factor into Busse s volatility timing model,and employ the model to investigate China s investment funds.