The A-share market was “caught off guard” at the beginning of the year. As of the noon closing on January 14, in just nine trading days, the Shanghai Composite Index fell from 3649.15 points to 3534.17 points, down nearly 3%.
The “cooling” of the market also affected the enthusiasm of the basic people to enter the market. The issuance of new funds fell into a downturn. Many fund companies began to actively apply for their new equity funds with their own funds to convey confidence to the market.
At the same time, the “top flow” fund manager’s public fund “opened the door to customers” and launched the “first shot” to relax the large subscription limit in the new year.
In the view of insiders, the fund’s opening of large subscription can, on the one hand, supplement ammunition for the fund, which is conducive to the fund manager’s contrarian layout and avoid the impact of redemption on the fund’s performance to a certain extent; On the other hand, it also hopes to weaken the short-term impact of the epidemic on the market, be optimistic about the medium and long-term trend of a shares, and guide the people to invest rationally.
Zhao Feng and other “top flow” fund managers
take the lead in relaxing large subscription
At the beginning of the year, the market continued to adjust, leading to a decline in popularity. However, recently, some optimistic signals have quietly appeared in the fund market. Some star funds that previously restricted large subscription began to relax the large subscription limit.
In the morning of January 14, Ruiyuan fund under Chen Guangming issued an announcement on the adjustment of large subscription and fixed investment business limits of Ruiyuan balanced value three-year holding hybrid fund.
The announcement said that since January 17, 2022, the restricted subscription and fixed investment amount of the fund will be increased from 1000 yuan to 10000 yuan.
It is reported that Ruiyuan balanced value is the second public offering fund of Ruiyuan fund, which is managed by Zhao Feng, a “veteran” with many years of investment experience. Ruiyuan balanced value was also a popular fund in the fund market at that time. When it was launched on February 18, 2020, it “attracted” more than 122 billion yuan of funds, once breaking the new record of initial subscription of public funds.
On the same day, Ruiyuan steady progress allocation fund, a “fixed income +” fund managed by Rao Gang, also announced that it would open daily subscription on January 17. At the same time, it limited the upper limit of 20000 yuan per single day, which was also relaxed compared with the upper limit of 1000 yuan per day of other Ruiyuan equity funds in the past.
In fact, as early as last September, Xie Zhiyu, another “top flow” fund manager in the market, took the lead in opening large subscription for two funds.
On September 23, Xingquan Herun issued the announcement on resuming the acceptance of subscription (including fixed investment) and conversion transfer in applications of more than 3000 yuan. The announcement said that the factors leading to the suspension of large subscription had been eliminated. From September 23, 2021, the fund manager resumed accepting single day subscription (including daily subscription and regular quota subscription) for a single fund account of the fund Application for transfer in with cumulative amount exceeding 3000 yuan.
Xingquan Heyi, another fund managed by Xie Zhiyu, also lifted the restriction on large subscription at the same time. According to the announcement of Xingquan Heyi, from September 23, 2021, the fund manager will resume accepting applications for single day subscription, conversion and transfer in of a single fund account of the fund with a cumulative amount of more than 10000 yuan, and class A shares and class C shares will be judged respectively.
key time point
star funds are often opened for subscription
The open subscription, redemption or suspension of subscription of equity funds managed by star fund managers are valued by the market. Historically, star funds are often opened for subscription at key time points.
After the Spring Festival of 2021, the A share market was ushered in, and the consumption sector, including Baijiu, adjusted. The Shanghai Composite Index dropped to 3359 near the end of March 2021. On March 11 of the same year, the China EU Internet pioneer hybrid fund managed by star fund manager Zhou Yingbo adjusted the upper limit of large-scale subscription of various channels, of which the upper limit of large-scale subscription of online direct sales centers and consignment channels was adjusted from the original 100000 yuan to 1 million yuan, and the upper limit of large-scale subscription of direct sales counters remained unchanged at 50 million yuan.
In the first quarter of 2020, when the market was suffering from the impact of the epidemic and was in shock, there were also large subscription applications for star fund manager management products at that very moment.
Fund Jun found that Xie Zhiyu and other top flow fund managers were open to large purchase of management products at that time. Such as Xingquan Hetai, Xingquan business model, Xingquan asset light, Xingquan Herun, etc.
In addition, the medium and Small Cap Fund of e fund managed by e fund Zhang Kun, which attracted much attention, also adjusted the limit of large subscription amount at that time, and adjusted the subscription ceiling threshold from 100000 to 1 million in February 2020. At that time, the blue chip funds of BOCOM Schroeder, Cinda Australia Bank and Soochow announced the opening of large subscription.
According to a person from a fund company, opening a large subscription can replenish ammunition for the fund, help the fund manager to counter the trend and avoid the impact of redemption on the fund performance to a certain extent; On the other hand, it also represents optimistic about the medium and long-term trend of A-Shares and guide the people to invest rationally.
According to fund Jun, many fund companies are discussing whether to release large subscription for some restricted varieties. Because liberalizing large subscription can allow Jimin to make a timely layout against the trend in batches, and liberalizing large subscription is also convenient for fund managers to buy companies with reasonable valuation in batches.
Historically, many excellent equity funds opened their subscription at some key time points, which is actually a landmark event concerned by the market. According to a person from a fund company, fund investment management needs to balance scale and performance. For example, during the rise of the stock market, the purchase of a large amount of funds will dilute the income of stock investors; During the decline of the stock market, the centralized redemption of funds may passively make the holding positions higher, and the stock investors will suffer greater losses. The purpose of fund companies to effectively control the scale is to do a good job in product investment management and treat investors fairly.
fund companies have increased since purchase
In the context of low market sentiment, many fund companies or fund managers have announced self purchase and are willing to share risks with investors.
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%. This is a big purchase since the new year.
Many new funds that have entered the IPO this year also have self purchase and blessing from fund managers and fund companies, and are willing to share risks and interests with the majority of investors.
Xinda Aoyin Zhiyuan, which officially entered the IPO on January 12 and is to be managed by Feng Mingyuan, has been held for three years. Xinda Aoyin Fund announced to use the company’s inherent funds to subscribe for 5 million yuan.
The two funds issued on January 10 have announced self purchase by fund managers. One of them is held by Shanghai Investment Morgan woxiang vision, which is managed by Du Meng, investment director of Shanghai Investment Morgan. Du Meng plans to invest 5 million yuan to subscribe during the raising period.
Another new fund managed by Guo Xiaowen, China Post Xingrong value one-year holding hybrid fund, Guo Xiaowen promised to purchase 3 million yuan by herself. At the same time, the executives of China Post venture fund will also contribute 3 million yuan to subscribe for the new fund.
On January 6, the selected fund of HSBC Jinxin research managed by star fund manager Lu Bin was issued on January 7. HSBC Jinxin announced that the company’s management team (excluding Lu Bin, the proposed fund manager) has invested 7.2 million yuan to subscribe for the fund; Lu Bin, the proposed fund manager, and the company’s research team have invested 6 million yuan to subscribe, totaling 13.2 million yuan.
On January 4, Yinhua Xinxing, jointly led by Li Xiaoxing and Zhang Ping, held and launched the issuance for three years. The two proposed fund managers will respectively contribute 2 million yuan and 1 million yuan to invest in new works.
Industry insiders said that most of the subscription of fund companies are newly issued new funds. However, the fund market is often “easy to make, easy to do, and difficult to make”. Under the background of relatively cold issuance of new funds, fund managers or fund companies announce self purchase, which can boost investor confidence to a certain extent.
fund investment income and risk coexist
After the new year, the mood of some fund investors can be described as “two days of ice and fire” compared with that before the festival. The floating profits of some investors who still hold heavy positions in new energy funds have narrowed significantly, and some investors who catch up have short-term floating losses. In the discussion areas of some large Internet fund sales platforms, there are jokes like “frozen people on the top of the mountain”.
When talking about market fluctuations and how investors should respond, Liu Yiqian, head of Shanghai Securities Fund Evaluation and Research Center, said in an interview with China fund news earlier, “Market shock actually tells investors that the market must not be invariable, and must grow in fluctuations and shocks. In the face of fluctuations, investors should re-examine their portfolio. In the previous environment where the market continued to improve, did they have an overly risky investment orientation? Was the investment too risk concentrated? And then balance their portfolio until they can bear it A comfortable, relatively balanced and stable level. In addition, the price fluctuation in the short-term market will not change the long-term trend of China’s economy or the overall quality of listed companies. Therefore, it is recommended to adhere to long-term investment and obtain reasonable returns in the future by taking a certain risk level at a reasonable level. “
Qu Chenchen, a fund analyst at Morningstar fund research center, previously pointed out that the bull market for two consecutive years from 2019 to 2020 and the profit-making effect of public funds have attracted many new funders to run into the market. Most new investors do not understand the principle of fund making money and lack awareness of risk. For new investors, market volatility is also an opportunity to recognize the coexistence of fund investment income and risk and re-examine their own risk tolerance.
“Falling is the most vulnerable to loss”, Zhu Shaoxing, a Wells Fargo fund manager, said bluntly at the equity investment strategy meeting held by the company. Through the analysis of the profit and loss ratio of investment income of some holders in the past, take the Wells Fargo Tianhui fund managed by him as an example. The product has been in existence for 15 years, and the cumulative income is almost 20 times. Half of the holders should make money, but in fact, the data analysis conclusion is a little surprised: in fact, a considerable number of customers don\’t make much money, and even some lose money.
The main reason is that the holders have some bad habits in the investment process – chasing up and killing down. Especially in the short-term fluctuations, sell the fund, operate frequently, and finally cause substantial losses. “For a fund whose net value continues to reach a new high, \’chasing up\’ can finally make money, and the most likely cause loss is\’ killing down \’. When the market volatility is relatively large, admit that the loss is out, and then don\’t come back when you pull back, which will cause real losses.”
Zhu Shaoxing also reminded that the market rate of return in 2019 and 2020 is relatively good, but investors can not take the relatively good market rate of return at that time as an inevitable expectation for the future. On the contrary, at this time point, with the change of market environment, it may be more difficult to obtain income and challenge managers in the future. The market needs better managers to spend more efforts to obtain income.
Heavy signal! Ruiyuan’s two star funds “open the door to welcome customers” relax the purchase restriction by 10 times! And these funds are “loosening”
