1. Report Industry Investment Rating There is no information provided regarding the industry investment rating in the report. 2. Core Viewpoints of the Report - The report focuses on BoDao Fund's fund manager Sun Wenlong, who has about 9.5 years of investment management experience and currently manages the BoDao Huitai Preferred Fund. His investment framework combines a bottom - up four - dimensional stock selection approach from the company, industry, market style, and social and environmental levels with Graham's three - factor valuation method to find high - quality companies at reasonable prices [1][7]. - The BoDao Huitai Preferred Fund has shown excellent performance since its establishment in January 2023. As of July 31, 2025, its return has reached 20.95%, significantly outperforming the Wind Partial - Stock Hybrid Fund Index (885001), which dropped 2.38% during the same period. It also has a relatively low volatility and high Sharpe and Calmar ratios [1][23][28]. - The fund has distinct investment characteristics, including balanced and dynamically adjusted industry allocation with a moderate preference for advanced manufacturing, concentrated stock holdings with long - term positions and appropriate position adjustments, and the ability to generate significant excess returns through both stock selection and trading [1][35][45]. - Sun Wenlong demonstrates strong capabilities in stock selection and invisible trading. Since 2024, the fund has performed well in both favorable and unfavorable market conditions, with stock - selection ability mostly excellent except in the second half of 2024, and significant excess returns through position adjustments, especially since the second half of 2024 [1][55]. 3. Summary by Relevant Catalogs 3.1 Background of BoDao Fund's Sun Wenlong - Sun Wenlong has an economics master's degree. He worked at Guotou Ruixin from July 2010 to December 2021 and joined BoDao Fund in January 2022. He currently serves as the deputy director of equity investment and manages the BoDao Huitai Preferred Fund [4]. - By constructing a fund - manager index, it is found that Sun Wenlong's fund - manager index has stably outperformed the CSI 300 Index [4]. 3.2 Investment Framework - **Stock Selection Method**: Sun Wenlong selects stocks from the "point, line, surface, and body" perspectives. The "point" refers to the company level, considering factors such as products, channels, and corporate governance; the "line" is the industry level, focusing on supply - demand relationships and competitive landscapes; the "surface" is the market - style level, concerned with the impact of the macro - economy on market styles; and the "body" is the social and environmental level [11]. - **Valuation Method**: He uses Graham's three - factor valuation method to value enterprises, including valuing net - asset value, profitability, and growth potential. Different valuation methods can be applied at different times for the same company [18]. - **Investment Style**: His investment style is balanced - growth. He maintains a balanced industry allocation, with a single - industry proportion not exceeding 20%. The portfolio is about 80% growth - oriented and 20% value - oriented [7][8]. 3.3 Performance Analysis of BoDao Huitai Preferred - **Overall Performance**: Since January 18, 2023, as of July 31, 2025, the fund's return has reached 20.95%, ranking in the top 13% among active - equity funds. It has an annualized volatility of 19.29%, in the lower 36% range. The annualized Sharpe ratio is 0.45, and the Calmar ratio is 0.33, ranking about in the top 10% and 9% respectively [23]. - **Relative Performance**: Compared with the Wind Partial - Stock Hybrid Fund Index (885001), the fund has significantly outperformed, with an excess return of 23.33% (20.95% - (- 2.38%)) as of July 2025. The excess - return curve is relatively stable, with a maximum drawdown of only 6.61%. The monthly win - rate since February 2023 is 73.3%, with an average monthly excess return of 0.76% [28][32]. 3.4 Investment Characteristics Analysis - **Industry Distribution**: The fund's industry allocation is balanced and dynamically adjusted, with a moderate preference for the advanced - manufacturing sector. It has increased the allocation of transportation, agriculture, forestry, animal husbandry, and fishery industries since the first half of 2024 and reduced the proportion of basic chemicals [35]. - **Positioning Characteristics**: The fund has concentrated stock holdings, with the top - ten stocks accounting for over 60% of the total holdings in the second half of 2024. The holding period is long, with some stocks held for over two years, but the position of each stock is adjusted. It mainly focuses on medium - and large - cap stocks, with about 25% of the stocks in small - cap stocks, and has a moderate turnover rate [37][41]. - **Source of Returns**: Both stock selection and trading contribute significantly to the excess returns. The stock - selection return was stable before September 2024 and declined due to the rapidly rising market, but the trading return increased significantly, indicating possible position adjustments by the fund manager. The advanced - manufacturing sector contributes the most to the absolute and relative returns [45][49]. 3.5 Fund Manager's Ability Circle - **Industry and Stock Concentration**: The fund is moderately diversified in industries and concentrated in stocks. - **Performance in Different Market Conditions**: Since 2024, the fund has performed well in both favorable and unfavorable market conditions, especially more stable in unfavorable markets. - **Stock - Selection Ability**: Except for the second half of 2024 when the market fluctuated sharply, the fund's stock - selection ability has been mostly excellent, ranking in the top 25% among similar products in the long - term. - **Invisible Trading Ability**: The fund has obtained a large amount of excess returns through position adjustments, especially since the second half of 2024, effectively coping with the volatile market [55].