Notice of RetractionAn empirical study of China´s open-end fund preference of local investment

Notice of Retraction

After careful and considered review of the content of this paper by a duly constituted expert committee, this paper has been found to be in violation of IEEE´s Publication Principles.

We hereby retract the content of this paper. Reasonable effort should be made to remove all past references to this paper.

The presenting author of this paper has the option to appeal this decision by contacting TPII@ieee.org.

This study examines the impact of local bias on investment returns shown on the funds´ selections of investment portfolio, using semi-annual panel data for China´s open-end funds during 2006–2009. The results show that open-end funds represent significant preference for local stocks, local investment positively affects the investment returns and the impact of local investment on investment returns in older funds and funds with higher concentration is more than in younger funds and funds with lower concentration. We demonstrate the factor that causes the fund´s local bias is the information advantage of local investment.