Investment Rating - The report maintains an "Overweight" rating for the non-bank financial industry [1]. Core Insights - The public fund advisory pilot program is expected to be a significant exploration in the transformation of China's wealth management market, with 60 institutions already qualified for the pilot. The transition from a "sell-side advisory" model to a "buy-side advisory" model is anticipated to enhance client engagement and asset appreciation [2]. - China's wealth management market is in a rapid development phase, akin to the U.S. in the 1980s, with a notable shift in asset allocation from cash and deposits to financial assets. The proportion of cash and deposits is projected to decline from 53% in 2012 to 44% by 2024, while investments in capital market products are expected to rise [5][54]. Summary by Sections 1. Wealth Management: Client-Centric and Diverse Financial Services - Wealth management focuses on comprehensive financial planning centered around client needs, offering services such as cash management, debt management, risk management, insurance planning, investment portfolio management, retirement planning, and estate planning [11]. 2. Global Wealth Management Market: Origin in Europe, Development in the U.S., Future in Asia - Global resident wealth has grown from $117 trillion in 2000 to $454 trillion by the end of 2022, with a compound annual growth rate (CAGR) of 6%. The U.S. wealth management market has matured over the past century, benefiting from a robust financial system and a client-centric approach [5][16]. 3. China's Wealth Management Market: Continuous Growth in Resident Wealth - China's personal investable assets reached ¥278 trillion by the end of 2022, with projections to grow to ¥327 trillion by 2024, reflecting a CAGR of 14% from 2018 to 2024. The high-net-worth population in China reached 3.16 million by the end of 2022, with an 18% CAGR from 2018 to 2022 [54][55]. 4. Competitive Landscape of China's Wealth Management - The wealth management sector in China is characterized by a diverse range of institutions, including banks, trusts, public and private funds, and internet wealth management platforms. The asset management scale of these institutions reached ¥155 trillion by 2024, with a year-on-year growth of 9.9% [5][54]. 5. Public Fund Advisory Pilot as a Key Transformation - The public fund advisory pilot program is a crucial step in the transformation of China's wealth management market, with the potential to shift the focus from sales-driven models to client-centric advisory services [2][5].

Group 1 - The core viewpoint of the summit is the emphasis on the high-quality development of the public fund industry in China, with a focus on investor-centric ecosystems and the integration of technology to enhance investor experience [1][2] - Morningstar's General Manager highlighted the rapid growth of index investing in China and the introduction of smart advisory tools to help investors avoid irrational decisions [1] - Experts at the summit agreed on the need for the public fund industry to shift from a "scale-oriented" approach to a "performance-oriented" one, emphasizing the importance of cost reduction and transparency to improve actual investor returns [1] Group 2 - The summit attracted over 1,000 participants from more than 200 institutions, indicating strong interest and support for the development of the investment advisory ecosystem [2] - Morningstar reiterated its strategic positioning to bridge domestic and international wealth management industries, aiming to create sustainable value for investors [2] - The theme of the summit, "Intelligence Gathering Globally, Witnessing the Future Together," reflects the goal of fostering consensus for high-quality industry development and injecting new momentum for future transformation [2]

Core Viewpoint - The public fund industry is undergoing significant transformation, with a focus on aligning the interests of sales institutions with investor profitability through a new classification evaluation mechanism for fund sales institutions [1][2][3]. Group 1: Classification Evaluation Mechanism - The newly introduced classification evaluation mechanism will incorporate various metrics, including investor profit and loss, holding period, and the scale of equity fund holdings [2][3]. - The mechanism aims to shift the assessment of sales institutions from a sales volume focus to an investor profitability focus, thereby enhancing the accountability of sales channels [1][2]. Group 2: Impact on Sales Institutions - The reform will prioritize institutions with better classification evaluation results in product access, license applications, and innovative business opportunities [3]. - Sales institutions are encouraged to improve their internal assessment and incentive mechanisms, emphasizing the importance of investor profit and loss [3][4]. Group 3: Fund Sales Fee Reform - The upcoming reform will include a reduction in fund sales fees, with expectations of a 50% decrease in sales service fees and a 30% reduction in trailing commissions, potentially leading to a total revenue decline of 39% for sales channels [4][5]. - The fund industry is projected to generate management fee income of 124.7 billion yuan in 2024, with sales service fees and trailing commissions contributing significantly to this figure [4]. Group 4: Shift to Buy-side Advisory Model - Sales institutions are advised to transition towards a buy-side advisory model, focusing on long-term investor relationships and asset appreciation rather than short-term sales [6]. - The demand for investment advisory services is expected to increase, necessitating a shift in sales strategies to accommodate investor needs [6]. Group 5: Growth of Equity Index Funds - The reform is anticipated to boost the scale and proportion of equity funds, particularly index funds, with securities firms expected to benefit from their existing advantages in this area [7][8]. - The market share of securities firms in equity index products is projected to reach 58% by the second half of 2024, highlighting their competitive position [7]. Group 6: Challenges and Opportunities - Despite the growth potential for equity index funds, there are concerns about the ongoing trend of fee reductions, which may impact overall profitability [8]. - The industry is expected to see a rapid development of thematic and strategy-based index funds, driven by regulatory guidance and changing investor demands [8].

Core Viewpoint - The report "2025 Financial Products Annual Report: Ecological Leap" by Huabao Securities highlights significant changes in the asset management industry, emphasizing the growing gap between insurance, public funds, and other asset management businesses, as well as the shift towards a buyer-centric investment advisory model [1][2]. Group 1: Industry Structure and Trends - The asset management industry in China has seen a substantial shift, with insurance and public funds significantly outpacing other asset management sectors in terms of scale [5]. - The public fund sector surpassed bank wealth management products in 2023, with expectations to further widen the gap in 2024 due to accelerated indexation [5]. - The transition to net value-based operations has not only transformed bank wealth management products but has also reshaped the entire industry ecosystem [6]. Group 2: Drivers of Growth - The growth of insurance asset management is attributed to a steady increase in funding sources and long-term stability, driven by rising insurance awareness and wealth preservation needs [7]. - Public funds have experienced rapid growth due to policy support, increased demand for wealth management, and innovation within the sector [8]. - The shift towards index-based investment strategies has significantly contributed to the growth of both public funds and ETFs, with the latter experiencing explosive growth in 2024 [17]. Group 3: Competitive Landscape - The asset management industry is facing common challenges such as the need for differentiated strategic positioning, diversified strategies, and enhanced client service capabilities [9][10]. - The competition is increasingly focused on improving customer service capabilities and leveraging AI technologies to optimize investment decisions and operational efficiency [9][10]. - The industry is moving away from a product-centric operational model towards a more service-oriented approach, emphasizing the importance of understanding and meeting client needs [10][13]. Group 4: Talent and Technology - The rise of smart investment advisory tools is reshaping the talent structure within the asset management industry, reducing reliance on traditional human advisors while creating demand for new skills in financial technology and data analysis [14][15]. - The integration of advanced technologies like generative AI and big data is enhancing operational efficiency and enabling personalized wealth management services [14][15]. Group 5: Market Insights - In the bank wealth management market, the total scale reached 30 trillion yuan in 2024, driven by declining deposit rates [16]. - The public fund market is witnessing a significant increase in the issuance of fixed-income funds, which accounted for approximately 70% of new fund issuance in 2024 [17]. - The securities asset management sector is evolving, with a focus on enhancing research capabilities and diversifying product offerings, although the pace of public fund establishment has slowed [18].

居民财富管理需求加速升级，买方投顾模式已是行业转型的核心。然而，公募基金产品不断涌现，投资 者投资平台分散化，全市场持仓信息难以统一... 理财师如何从海量数据中提炼客户真实需求，并为投资者高效提供科学的资产配置方案？ 晨星基金E账户诊断服务 通过与基金E账户的深度对接，实现账户便捷同步、实时净值更新、全面持仓 诊断的功能升级，助力理财师一站式洞察投资者的基金资产分布，并用标准化工具为投资者提供更精 准、个性化的资产配置建议。 分享要点 本次晨星线上分享会上，晨星产品经理苏圳鹏将分享从账户诊断到资产配置的全流程实操，直击业务刚 需。 1 借助基金E账户，洞察客户全面真实持仓 分享嘉宾 参会方式 主讲人：苏圳鹏 晨星中国产品经理 2 如何将E账户诊断结果应用于配置建议 3 结合客户风险偏好，实现个性化资产配置 时间： 2025年4月24日（星期四）15:30-17:30 分享形式： 腾讯会议 报名方式： 扫描 下方 二维码 或点击文末 阅读原文 进行报名！ * 报名截止日期为 2025 年 4 月 24 日中午 12:00 ，审核通过后我们将以邮件形式为您发送报名成功提醒和参会信息。 如有更多疑问或需求，欢迎邮 ...

Core Insights - The demand for wealth management among residents is accelerating, with the buyer advisory model becoming the core of industry transformation. However, the continuous emergence of public fund products and the diversification of investment platforms make it challenging to unify market holding information [1]. Group 1 - The Morningstar Fund E Account Diagnostic Service enhances the ability of financial advisors to extract clients' real needs from vast data and provide efficient, scientific asset allocation solutions [1]. - The service allows for convenient synchronization of accounts, real-time net value updates, and comprehensive holding diagnostics, enabling financial advisors to gain insights into investors' fund asset distribution [1]. Group 2 - The upcoming online sharing session will feature Morningstar product manager Su Zhenpeng, who will discuss the entire process from account diagnostics to asset allocation, addressing essential business needs [2]. - The session will cover how to leverage E Account diagnostic results for personalized asset allocation based on clients' risk preferences [4].

居民财富管理需求加速升级，买方投顾模式已是行业转型的核心。然而，公募基金产品不断涌现，投资 者投资平台分散化，全市场持仓信息难以统一... 主讲人：苏圳鹏 晨星中国产品经理 2 如何将E账户诊断结果应用于配置建议 3 结合客户风险偏好，实现个性化资产配置 时间： 2025年4月24日（星期四）15:30-17:30 分享形式： 腾讯会议 理财师如何从海量数据中提炼客户真实需求，并为投资者高效提供科学的资产配置方案？ 晨星基金E账户诊断服务 通过与基金E账户的深度对接，实现账户便捷同步、实时净值更新、全面持仓 诊断的功能升级，助力理财师一站式洞察投资者的基金资产分布，并用标准化工具为投资者提供更精 准、个性化的资产配置建议。 分享要点 本次晨星线上分享会上，晨星产品经理苏圳鹏将分享从账户诊断到资产配置的全流程实操，直击业务刚 需。 1 借助基金E账户，洞察客户全面真实持仓 分享嘉宾 参会方式 报名方式： 扫描 下方 二维码 或点击文末 阅读原文 进行报名！ * 报名截止日期为 2025 年 4 月 24 日中午 12:00 ，审核通过后我们将以邮件形式为您发送报名成功提醒和参会信息。 如有更多疑问或需求，欢迎邮 ...