Core Viewpoint - The A-share market is experiencing significant structural differentiation, with a notable performance gap of over 220 percentage points between top-performing and bottom-performing funds, as the market approaches the end of the year and the annual performance sprint for active equity funds begins [3][4]. Market Performance - As of November 10, the A-share market is in a consolidation phase around the 4000-point mark, with the Shanghai Composite Index closing at 4018.6 points, reflecting a year-to-date increase of 19.9% [5][6]. - The market shows a clear "high-cut low" characteristic, with the TMT sector experiencing volatility due to global AI narratives, while the pharmaceutical sector faces pressure from internal procurement and external geopolitical risks [6][7]. - The average return of active equity funds has decreased from 33.08% at the end of Q3 to 30.51% year-to-date, with the Wind data indicating a 2.08% decline in the fourth quarter [6][7]. Fund Performance - Top-performing funds include Yongying Technology Smart A with a return of 205.35%, followed by Hengyue Advantage Selection at 147.36% and Hongtu Innovation Emerging Industry at 139.82% [8]. - The threshold for entering the top ten active equity funds is set at 122.13%, significantly higher than the previous year's 52.4% [7]. Fund Subscription Policies - In response to market conditions, several fund companies are adjusting their subscription policies, with some funds lifting restrictions on large subscriptions to attract more capital, while others are tightening limits to manage fund size and stability [9][10]. - As of November 10, 218 active equity funds have suspended large subscriptions, with some limiting daily subscription amounts to as low as 100 yuan [10][11]. Market Outlook - The dynamic adjustments in fund subscription policies signal a controlled approach to fund size management, with expectations of a stable upward trend in the A-share market, supported by structural improvements in the domestic economy and a decline in risk-free interest rates [11][12]. - The innovation drug sector is experiencing volatility, with market expectations diverging from actual industry performance, leading to profit-taking behavior among investors [12][13].