With different investment objectives, the investment scope, operation strategy and investment constraints of the fund are also different. For example, bond funds and stock funds are not comparable in fund performance measurement because of different investment objects. For another example, there is no comparability between fund managers who can only invest in small stocks and fund managers who only invest in large companies. Therefore, we must pay attention to the influence of investment objectives on the comparability of fund performance measurement in performance comparison.
(2) The risk level of the fund
Modern investment theory shows that investment income is driven by investment risk, so the risk level of portfolio deeply affects the investment performance of portfolio, and the fund with better performance may only be caused by its higher risk. Therefore, in order to properly examine the investment performance of funds with different risk levels, it is necessary to examine whether the income obtained by the fund is enough to make up for the risk level it bears, that is, to measure the performance of the fund on the basis of risk adjustment.
(3) comparison benchmark
From the perspective of mature markets, most fund managers tend to focus on a specific investment style. Under the influence of market cyclical factors, funds with different investment styles may show different group characteristics at different stages. Therefore, in the relative comparison of funds, we must pay attention to the reasonable choice of comparison benchmark.
(d) Timing
In the comparison of fund performance, the starting time of calculation and the selected calculation period are different, so the calculation results are also different. Some companies often choose a favorable calculation period to announce their performance, so we must pay attention to the possible errors caused by the selection of the period in performance evaluation.
(e) Stability of the Fund's investment portfolio
The change of fund operation strategy, the reset of asset allocation ratio and the replacement of managers will all affect the stability of fund portfolio. Therefore, these problems must be considered in the actual evaluation.