Abstract

Based on the financial information's importance，this article proposed the financial index of listed companies（FILC）as the core concept. The whole thesis research revolves the production，the analysis and the application of the FILC. Specifically，this study taking the listed companies of China as the object，by choosing and weighting the financial indicators reasonably，sets up a dynamic financial index system，in order to reflect the financial operation status of the overall listed companies. The financial index of listed companies，based on the macro-economy theory and the micro-financial analysis theory，is a dynamic indicator by using a variety of statistical methods. It not only provides the useful information for all users of the listed companies' financial information，but also has enriched and developed the micro-financial analysis theory.

The paper consists of seven chapters，the specific content of each chapter as follows：

Chapter Ⅰ，Introduction

Firstly，this chapter analyzes the research background of FILC，pointing the great significance of FILC. As a result，this chapter gives the research purpose of FILC，and explains the train of thought accordingly，as well as the basic theories and methods. Secondly，from the general point the article describes the paper structure. Finally，this chapter summarizes the innovations and the insufficiencies of the entire study.

Chapter Ⅱ，The Basic Theories and Idea of FILC

This part discusses the theoretical foundation：the macro-economy theory and the micro-financial analysis theory. From the basic point，this article describes the characters，goal，functions and roles. Next，it analyses a series of basic conceptions of FILC. The research hypothesis is that the accounting information of listed companies is true and reliable. Based on different perspectives，FILC has a variety of types，including the synthesis financial index，region financial index，industry financial index，sample financial index and so on. The basic process of generating the FILC includes three links. In addition，this chapter points out the need to make a distinction between financial companies and non-financial companies，because of the special nature of the financial industry. Due to the author limited abilities，as well as a more general view，this paper temporarily take non-finance companies as the object.

Chapter Ⅲ，The Indicators Selection of FILC System

This part researches the indicators selection of FILC. First of all，this chapter reviews the financial indicators system of the financial research area. Secondly，from the methodological point of view，this chapter discusses the indicators selection methods，which mainly divided into two major categories of quantitative and qualitative methods，and each method has its own advantages and disadvantages. Based on the above analysis，this chapter proposed the specific ideas of indicator selection. This part summarizes eight principles for the choosing financial indicators，thus it establishes the basic framework of financial indicators. Base financial indicators framework，there is a special activity entitled “The Questionnaire About the construction of Listed Companies' Financial Indicators System” in this article. According to the survey results，this chapter sets up a system of listed companies financial indicators，including the repay debt ability，operating ability，profit ability，cash flow ability and growth ability，for a total of 17 indicators.

Chapter Ⅳ，The Indicators Weighting of FILC System

This part researches the indicators weighting of FILC. Firstly，this chapter introduces the indicators weighting methods，which also can be divided into two types of subjective weighting and objective weighting，and each method has its own advantages and disadvantages. Therefore，the FILC indicators' weights are the combination of subjective weights and objective weights. Base on the results of questionnaire，this chapter takes the arithmetic mean value of the survey as the categories weights，and by use of the Analytic Hierarchy Process，the article changes the importance scores to the expert weights of the financial indicators as the subjective weights. Besides，this part describes the means of objective weighting，namely factor analysis weighting.

Chapter Ⅴ，The Compiling Method of FILC

In this chapter，it analyzes the methods of the process of FILC establishment detailed. As FILC is a summary of multi-indicators information，the article introduces the various multi-indicators aggregation methods，and the characteristics of these methods. Then，it points out that the addition synthesis is the only suitable method for FILC. On the other hand，FILC is a kind of dynamic index. Therefore，this paper considers that the establishment formula of FILC should be obtained from the general statistical index method，based on the analysis and comparison of various types of business indices. As a result，this chapter compares the four basic methods of statistical index，pointing out that only the weighted average index method meet the requirement of FILC.

Chapter Ⅵ，The Generation of FILC

First of all，this chapter chooses the sample companies of Shanghai and Shenzhen 300 Index（excluding financial listed companies）as the sample of FILC. Since the Shanghai and Shenzhen 300 Index has a good market representation，the information characteristics of FILC would have the good market all sidedness，representation and attention. According to the data availability，the four quarterly financial reports' information in 2006 is the base of the dynamic comparison. This chapter establishes FILC from 2007 to 2009，a total 11 quarterly financial indices，and the basic point is one hundred. Next，the article acquires the final weights of the financial indicators，which are combination of the expert weights and the objective weights. The structure of the final weights enables the financial index not only to have a good mathematical property，but also to be more effective. Finally，under the instruction of the FILC compiling formula，this chapter has completed the generation of FILC，besides the categories indices.

Chapter Ⅶ，The Analysis and Application of FILC

This chapter firstly analyzes the Characteristics and trends of financial indicators，categories financial indices and FILC. In the second part of this chapter，it analyzes the correlations between these financial indices，using Person correlation，Spearman correlation and Kendall tau correlation，and finds that there is a significant positive correlation between repay debt index and cash flow index，and a significant positive correlation between operating index，profit index and growth index，while the two variables are negatively correlated with each other. The article also gives the economic interpretation for the correlations. The third part of this chapter studies the internal links between the various types of financial indices and the stock market，using canonical correlation analysis. The results demonstrate there is a significant correlation，which not only confirms the financial index validity，but also obtains a few enlightenment conclusions. Finally，the paper points out the following research directions of FILC，namely “specific behavior financial index”. Then，for the limitations of the present paper research，this chapter also summarizes four aspects need to improve in the future.

This paper establishes the FILC in China，which is unprecedented in existing research，and this is the biggest innovation of this article. Specifically，the innovation can be summarized the following aspects：

（1） The innovation of theory application. This article applies the micro-financial analysis in the macro-economy. At present，the financial analysis system is limited in the micro individual，and its comprehensive and systematic characteristics are very poor. This study analyzes the financial status from the macro and overall perspective.

（2） The innovation of indicators weighting. The financial indicator weights are the combination of subjective weights and objective weights，which gains the both virtues and makes up the sole method insufficiency. The previous researches of evaluation system，based on pure qualitative analysis or pure empirical analysis，while rarely unites them together.

（3） The innovation of application research mode. This paper discusses the relationship between the stock prices，trading volumes with FILC，by canonical correlation analysis，and obtains the effective conclusions. This research mode breaks through in the three aspects：first，breaks from the micro angle of view that take sole listed company as the sample；second，stock market's variables are no longer limited to stock price，including stock turnover；third，the research variables are no longer a certain financial indicator or a kind of financial indicators，but is the comprehensive survey for the financial abilities of the listed companies.

Key words：Financial index，Indicators selection，Indicators weighting，Dynamic index，Feature analysis，Correlation analysis