Core Insights - The Chinese public fund market has undergone significant transformation over the past decade, evolving from "quantity expansion" to "quality improvement," becoming a crucial pillar for wealth management and capital market development [7][8][9]. Fund Market Growth - The total asset value of public funds in China increased from 4.45 trillion yuan in 2014 to over 32 trillion yuan by 2024, marking a growth of 626% [8]. - The number of funds rose from fewer than 1,900 in 2014 to 12,400 by 2024, a 550% increase [8]. - As of June 30, 2023, the number of funds reached 12,900, maintaining an asset value above 32 trillion yuan, indicating ongoing market expansion and stability [8]. Product Diversification - The variety of public fund products has significantly increased, now including ETFs, REITs, FOFs, and alternative investments, with FOFs and REITs emerging from non-existence to notable presence [8][9]. - QDII funds, which invest in overseas markets, grew from fewer than 90 funds and under 50 billion yuan in asset value in 2014 to over 300 funds and more than 530 billion yuan by 2024 [8]. Investment Strategy Evolution - Public funds have diversified their investment strategies, with ETFs expanding from broad-based to sector and thematic investments, and quantitative strategies evolving to include various tools [9]. - The growth of fixed-income funds, particularly bond funds, reflects a strong demand for stable return products amid economic uncertainties [10][11]. Bond Fund Expansion - Bond funds have seen the most significant growth, with their share and asset value increasing substantially over the past decade. By the end of 2024, bond funds accounted for 31.42% of total fund shares and 32.62% of asset value, both up over 24 percentage points from ten years prior [11]. Rise of Passive Investment - The market share of passive investment funds, particularly ETFs, has grown significantly. ETF numbers increased from 107 in 2014 to over 1,000 by 2024, with asset value rising from 256 billion yuan to 3.73 trillion yuan [13]. - The shift towards passive investment is attributed to changing market conditions and investor sentiment, with a growing preference for low-cost, transparent investment options [13]. Investor Structure Changes - The investor base has shifted towards institutional investors, with their share of net asset value rising from 31.07% in 2014 to 48.49% by 2024, while individual investors' share decreased [14]. - The institutionalization trend is particularly pronounced in bond funds, where institutional ownership increased from 53.08% to 82.46% over the same period [14]. Long-term Investment Opportunities - Over 400 funds have achieved over 100% returns since 2015, with a significant number being mixed equity and flexible allocation funds [16]. - The average asset value of these long-term funds increased from 1.065 billion yuan in 2014 to 2.226 billion yuan by mid-2025, indicating a trend towards medium-sized funds performing better [17].