Abstract: Securities investment funds herding behavior and its influencing factors are investigated by using the data of all quarterly transactions made by securities investment funds in China’s stock market based on the LSV and FHW measures Higher herding level is found in China’s stock market compared to developed capital markets, and it is periodic and especially high in the second quarter each year Herding behavior is proved to be more intense among small and medium companies and when the market is under stress Herding level is also different among different industries Suggestions on improving fund investment behavior are put forward based on the research

Key words: securities investment funds, herding behavior, LSV, FHW