Specifically, the coefficients of operating expenses were found to be insignificant in all regression analyses, while almost all the coefficients of load fees were statistically significant. Based on panel data that contained 240 open-end funds for the period of 2008 to 2017, we offer insight into the relationship between fee structure and the flow of open-end funds in China and find that investors react more sensitively to the load fee than operating expenses. We aim to determine whether performance influences the effect of the load fee on fund flows. In this study, we examine whether investors react rationally to fund fees through the investigation of the impact of fee structures on investor behavior with open-end funds in China. The financial market, including the fund market, has an increasingly important role in facilitating sustainable economic development.
