According to statistics, foreign quantitative input accounts for more than 30% of all input products, and about 20-30% of active input products adopt quantitative technology. Compared with foreign markets, domestic funds are much smaller in both quantity and scale. Most domestic quantitative funds were launched after the 2008 financial crisis. At present, there are 65 fund companies in the market, and only l3 have officially launched quantitative funds.

Since the establishment of two quantitative funds, no new quantitative funds appeared in the market from 2006 to 2008, and then showed a rapid growth trend. Why is the progress of domestic quantitative funds so distinctive? Analyzing the reasons, I think there are the following points:

(A) the progress of the domestic capital market has prepared the necessary conditions for quantitative investment. Since 2005, a series of changes have taken place in the securities market: the completion of share-trading reform, the expansion of IPO, the improvement of quantitative research ability of sellers, the introduction of stock index futures and margin financing and securities lending, and so on. How to quickly and effectively select investment targets among many listed companies and reduce research and investment costs has become a new problem faced by institutional investors. Analyze and summarize the relatively objective stock selection model and explore the internal driving factors. It is in this environment that the advantage of quantitative stock selection lies in this. As sellers of the securities market, institutional investors begin to pay attention to quantitative investment. On the basis of its metalworking team, securities firms set up a quantitative research team and launched a large number of quantitative strategy reports and quantitative investment services (such as programmatic trading services). Some sunshine private equity funds have also begun to set up Public Offering of Fund as a market leader, and naturally they are not far behind in quantitative investment, recruiting and preparing for the issuance of quantitative funds.

(B) The excellent performance of foreign quantitative funds has attracted people's attention, especially during the 2008 financial crisis. At that time, most funds suffered serious losses, but some funds that adopted quantitative strategies gained very good returns. James Simmons's Medallion Fund, with an average annual net return of 35%, is an enviable star in quantitative funds. Domestic fund companies have seized investors' interest in quantitative funds and launched their own quantitative fund products in due course.

(3) The accumulation of talents has improved the possibility of launching domestic quantitative funds. Quantitative fund is an exotic product, and there is a shortage of talents familiar with quantitative fund management in China. Morgan Stanley was able to launch the quantitative fund earlier because of the support of its foreign shareholders, and its products adopted the quantitative investment method provided by foreign shareholders. At that time, domestic local funds lacked talents in this field and naturally did not have the strength to launch quantitative fund products. However, the financial crisis has given the domestic fund industry opportunities. After the crisis, many foreign investment talents returned to China, and they also brought some advanced quantitative investment knowledge and experience from abroad. At present, most quantitative fund managers in the market have overseas backgrounds.