Report Title - Fixed Income + Funds: Review of the 2025 Annual Strategy and Outlook for the 2026 Annual Strategy [1] Report Scope - The report analyzes the situation of fixed income + funds in 2025, including product scale, investment strategy, performance, fund team, and various strategies, and provides an investment strategy outlook for 2026 [7][8][97] Key Points 1. Product Scale - In 2025, the cumulative growth of fixed income + funds was rapid, reaching 1.93 trillion yuan by the end of Q3. Low - position fixed income + funds grew fastest in Q1 and Q2, while medium - to - high - position funds, mainly secondary bond funds, received concentrated capital inflows in Q3 [8][9] - Twenty - one funds saw their annual scale increase by over 10 billion yuan, with six of them growing by over 20 billion yuan, including Yongying Robust Enhancement, Zhongou Fengli, etc [11] - From a fund company perspective, as of Q3 2025, Invesco Great Wall Fund's fixed income + fund scale increased by over 100 billion yuan, leading other companies in scale growth [14] - In 2025, fund companies issued 104 fixed income + funds, a 42.47% year - on - year increase, with a total initial offering scale of 115.5 billion yuan, a 13.08% year - on - year increase [16] - Q1 - Q3 net subscription amounts of the top ten funds were between 15 - 30 billion yuan, and the initial offering sizes of the top ten funds in 2025 were between 0.8 - 5 billion yuan [19] - In the first half of 2025, the growth of fixed income + fund market scale was driven by both institutions and individuals, with institutional and individual holdings increasing by 136.238 billion yuan and 111.556 billion yuan respectively [23] 2. Investment Strategy Review - In 2025Q1, the Chinese economy continued to recover, and the equity market showed structural differentiation. In Q2, after the uncertainty of tariff shocks in April, the equity market gradually recovered. In Q3, the equity market continued to break through from July to August, followed by high - level fluctuations in September [30] - In the first half of 2025, the stock positions of fixed income + funds changed little, while the convertible bond positions gradually decreased. In Q3, affected by the high - level correction of the convertible bond market, most products reduced convertible bond positions and increased stock positions [30] - In the first half of 2025, fixed income + funds increased their holdings in the financial, real estate, and pharmaceutical sectors. The allocation ratio of the TMT sector in the heavy - holding stocks of fixed income + funds gradually increased, while that of the consumer sector decreased [35] 3. Performance Review - In 2025, the median return and maximum drawdown of fixed income + funds were 4.86% and - 2.03% respectively. Higher - position products generally performed better [37] - Among fund companies with large - scale fixed income + funds, Huashang Fund and Invesco Great Wall Fund had the highest average returns [41] - In 2025, the performance of large - scale fixed income + funds varied. Products with top - notch performance in the same strategy included Yongying Robust Enhancement and Invesco Great Wall Jingyi Fengli [43] - For different types of fixed income + funds, top - performing products included Guoshou Anbao Jingcheng 6 - month Holding, Western Securities Xiangyun, etc [45] 4. Fund Team Review - Invesco Great Wall Fund: In 2025, its fixed income + fund scale increased by over 100 billion yuan. The development of its fixed income + business features multi - team competition and cooperation between stock and bond fund managers [47] - Zhongou Fund: It has 29 fixed income + funds, with a total scale of 77.593 billion yuan in 2025. It is building a professional, industrialized, and digital research and investment system [55][61] - Yongying Fund: It has 19 fixed income + funds, with a total scale of 57.374 billion yuan as of Q3 2025. The scale increased by 38.088 billion yuan during the year, mainly due to Yongying Robust Enhancement [62] 5. Industry Theme Strategy - A total of 45 fixed income + funds with industry themes were identified, with more and larger - scale funds in the cycle and science and technology innovation industries [72] - Benefiting from the structural market of relevant sectors, fixed income + funds themed on science and technology innovation, cycle, and advanced manufacturing performed well, with representative products such as Minsheng Jiayin Enhanced Income and Invesco Great Wall Jingsheng Shuangxi [75] 6. Small - Cap Strategy - Sixteen fixed income + funds with small - cap strategies were identified, with a total scale of 14.397 billion yuan. Most of them were low - position funds. In 2025, these funds had higher returns and risks compared to those with similar positions [79] 7. Dividend Strategy - Sixty - two fixed income + funds with dividend strategies were identified, with a total scale of 46.016 billion yuan. Most of them were medium - to - low - position funds. In 2025, their average returns were lower than the market average, but they had better drawdown control [86] 8. Quantitative Strategy - There were about 171 quantitative fixed income + funds in the market, with a total scale of about 122.547 billion yuan. The top - three products in terms of scale were E Fund Dual - Bond Enhancement, Fullgoal Xingli Enhancement, and Silver Hua Enhanced Income [92] 9. Outlook for 2026 - In 2026, in a situation where the capital interest rate remains unchanged, the equity investment ability and risk control ability of fixed income + fund managers are considered core factors. A core - satellite investment approach is recommended, using low - volatility, quantitative, and balanced funds as the core of the portfolio and technology, cycle, dividend, growth, value, and high - elasticity funds as satellite positions [97]

Group 1 - The total scale of fixed income + funds reached 1.93 trillion by Q3 2025, with low-positioned funds experiencing the fastest growth in Q1 and Q2, while mid-high positioned funds saw significant inflows in Q3, primarily in secondary bond funds [2][11] - In 2025, 21 funds increased their scale by over 10 billion, indicating a diverse market with various strategies gaining investor interest, including Hong Kong stock strategies, technology growth themes, and cyclical themes [2][14] - The average return of fixed income + funds in 2025 was 4.86%, with a maximum drawdown median of -2.03%, showcasing a "steady progress" characteristic [3][7] Group 2 - The top-performing fixed income + funds included Yongying Stable Enhancement, Jingshun Longcheng Jingyifengli, and others, with absolute returns being notably high [3][14] - Jingshun Longcheng Fund saw its fixed income + fund scale increase by over 100 billion in 2025, characterized by multi-team competition and collaboration between equity and bond fund managers [3][18] - Zhongou Fund is actively developing a professional, industrialized, and intelligent research system to empower the diversified development of fixed income + business [3][18] Group 3 - The industry-themed funds, particularly in technology innovation and advanced manufacturing, performed well due to structural market conditions [3][21] - Small-cap strategy products are relatively scarce, but those available outperformed similar-positioned fixed income + funds in 2025 [3][22] - Quantitative strategies are increasingly being adopted, with about 20% of new products in 2025 utilizing quantitative strategies, indicating a rich strategy pool [3][24] Group 4 - In 2025, the issuance of fixed income + funds increased significantly, with 104 new funds launched, reflecting a 42.47% year-on-year growth [21][24] - The top three funds by net subscription in 2025 were Yongying Stable Enhancement, Zhongou Fengli, and Jingshun Longcheng Jingyifengli, with net subscription amounts ranging from 150 to 300 billion [24][25] - Institutional investors have shown a higher interest in fixed income + funds since the second half of 2022, with significant growth in both institutional and individual holdings in 2025 [29][31]