The market fluctuated continuously, the public offering was firm and bullish, and took out the self purchase of “real gold and silver” to support the market.
Fund Jun found that on January 26 alone, China Europe and Hua’an funds announced a large purchase of their own funds. According to incomplete statistics, since the beginning of 2022, as many as 22 fund companies have implemented self purchase or announced self purchase plans, and some company investment researchers and fund managers have subscribed or applied for new and old products, involving an amount of more than 600 million yuan.
Industry insiders said that in 2022, the A-share market was volatile. The fund company took out “real gold and silver” to buy, obviously in order to share risks with investors, and also showed confidence in the market.
Historically, when the market fluctuates, there will be collective self purchase actions of fund companies, and this wave of self purchase tide may also surge.
China Europe and Hua’an made a large purchase of their own funds
On January 26, China Europe and Hua’an, two fund companies in Shanghai, made a large purchase of their own funds.
China Europe Fund announced that it will purchase and hold its own medical theme fund for a long time in the near future, and will purchase a total of 50 million yuan of China Europe medical and health hybrid securities investment fund and China Europe medical innovation equity securities investment fund with its own funds within 30 trading days from the date of announcement (January 26), and hold it for more than three years.
In addition to the company using its own funds to purchase its products, Ge Lan, the top flow fund manager of China Europe and the “first sister” of the new fund, will also purchase a total of 2 million yuan of China Europe medical and health hybrid securities investment fund and China Europe medical innovation equity securities investment fund within 30 trading days from January 26, and promise to hold them for more than three years.
Head fund companies and star fund managers jointly buy their own shares, making them the focus of market attention today. Coincidentally, on the same day, another Shanghai public offering Hua’an fund also announced that based on its confidence in the long-term, healthy and stable development of China’s capital market, the company will use its own funds to purchase the company’s partial share public offering fund from January 26 to February 25, with a total investment of no less than 50 million yuan.
Hua’an fund also said that the follow-up company will continue to apply for the partial share public offering fund of the company. As an institutional investor, Hua’an fund will actively safeguard the interests of its holders, continue to perform its duties of “entrusted and financial management on behalf of others”, and adhere to long-term investment and rational investment.
In the past January 25, Bodao Fund issued an announcement on the company’s own funds to purchase its funds. The announcement said that Bodao fund invested 10 million yuan of its own funds to purchase some of its funds on January 24, 2022.
Earlier, on January 22, Xinghua Fund announced that based on the confidence in the long-term healthy and stable development of China’s capital market and the company’s ability to actively invest and manage, in line with the principle of sharing risks and benefits with the majority of investors, On January 21, 2022, the company used its inherent capital of 10 million yuan to subscribe for the “Class A shares of Xinghua consumption selected 6-month holding hybrid sponsored securities investment fund” of the company.
fund companies and personnel purchased more than 600 million during the year
Since 2022, the market has continued to fluctuate. In this context, as an important participant in the capital market, fund companies, their executives and investment researchers have made self purchases, injecting one shot after another into the market and investors.
According to the statistics, as of January 25, with the 10 million seed funds required for the establishment of sponsored funds in accordance with the regulations, the self purchase amount of fund companies has reached 450 million yuan since the new year. If the self purchase that has been announced but has not been implemented, such as China Europe, Hua’an, Bodao and Xinghua funds, the self purchase amount of fund companies is expected to exceed 580 million yuan during the year, Involving at least 26 fund companies.
Specifically, the establishment scale of South MSCI China A50 interconnection ETF Feeder Fund announced on January 11 reached almost 700 million yuan, of which the subscription of South Fund with inherent funds reached 200 million yuan, accounting for 28.62%. It can be called a strong self purchase since the new year.
In addition to the company’s subscription or subscription of its products with its own funds, many individuals also take out real gold and silver to support their own or their own funds. Since this year, many star fund managers such as Li Xiaoxing, Lu Bin, Guo Xiaowen and Du Meng, as well as their company’s investment and research team, senior executives and ordinary employees have subscribed for the company’s new development funds out of their own pocket.
Not only are large-scale public offerings in action, but some “new generation” public offerings have also opened the self purchase mode, such as Hengyue fund and its fund manager Cui Ning. In the mixed issuance of Hengyue medical and health selection, the fund company invested 10 million yuan with its own funds, and the fund manager Cui Ning purchased 1 million yuan.
On the whole, the first month of 2022 has not yet ended, and the self purchase amount of fund companies and public offering personnel has reached about 600 million yuan, which is at the highest level in the same period in history.
Even in 2021, the climax of fund self purchase, the self purchase amount of fund companies in the whole January was less than 300 million yuan. From 2015 to 2020, the data were 68 million yuan, 65 million yuan, 180 million yuan, 215 million yuan, 220 million yuan and 181 million yuan respectively.
self purchase shows confidence in the future
The fund company took out “real gold and silver” to purchase by itself, demonstrated investment confidence and sent a signal to the market that it is optimistic about the future market.
From the history of the fund industry, there were two strong “self purchase tides”. One was that after the sharp decline in June 2015, the management and various institutions actively made moves, and the fund companies also participated. At that time, a total of 62 fund companies used RMB 2.232 billion to apply for or subscribe their own partial share funds in early July.
The other occurred after the covid-19 epidemic in 2020. At that time, 41 fund companies took collective action to purchase their own equity funds, with a total amount of 2.6 billion yuan.
Compared with these two large-scale “self purchase tides”, the magnitude of self purchase by fund companies since this year is slightly weaker. However, in addition to the large amount of funds used in these two times, most of the self purchase tides in other years are hundreds of millions of yuan or about 1 billion yuan.
Insiders said that since the beginning of the year, the continuous adjustment of the market and the downturn of investor sentiment are the background of this round of self purchase tide. When the issuance of new funds fails to meet expectations, fund companies and fund managers hope to demonstrate their confidence in the market and their own investment and management ability through self purchase, so as to convey positive signals to investors and boost market sentiment.
Another third-party analyst said that the self purchase of funds by fund companies was mainly motivated by “marketing”, “maintenance” and “investment”. The self purchase of funds by fund companies can strengthen the trust of investors, help the fund maintain or even expand its share, and is conducive to the “marketing” of the fund; It can also “maintain” fund operation and prevent smaller funds from being refunded; In addition, it can revitalize the company’s own funds and increase the company’s non operating income.
However, the behavior of self purchased funds largely expresses the determination of fund managers and investors to share risks and benefits. However, this is only the attitude and willingness of fund managers and cannot represent the quality of their investment and management ability.
Investors should treat “self purchase” as an independent behavior, which can not be used as an important reference index when purchasing funds. In choosing products, they should follow their own investment logic and examine the investment and management ability of fund managers in many aspects.
Another person in the industry also reminded that investors can use self purchased funds as reference indicators, but in addition, it also depends on whether the historical performance and the style of fund managers are consistent with themselves, and can not blindly follow the trend.
