Core Viewpoint - The resignation of Zhai Xiangdong, a prominent fund manager at China Merchants Fund, marks a significant change for the company, particularly for the high-performing China Merchants Advantage Enterprise Mixed Securities Investment Fund, which he managed for nearly three years, achieving a return of 124.59% during his tenure [3][6]. Group 1: Fund Manager Transition - Zhai Xiangdong announced his departure from China Merchants Fund on August 10, expressing gratitude to investors and colleagues for their support during his five-year tenure [1]. - The announcement of Zhai's resignation was made on August 9, with the fund's assets under management decreasing from 100.17 billion to 81.32 billion, possibly due to rumors of his departure [3][6]. - Lu Wenkai has been appointed as the new fund manager, bringing 14 years of investment experience and a strong track record of outperforming benchmarks [8][11]. Group 2: Fund Performance and Strategy - During Zhai's management, the fund focused on high-growth sectors such as TMT (Technology, Media, and Telecommunications), achieving a significant annualized return of 27.96% [6]. - Lu Wenkai's investment strategy emphasizes a mean-reversion approach, targeting growth stocks at the bottom of their cycles, with a focus on sectors like TMT, military, and consumer goods [10]. - The new manager plans to maintain a growth-oriented investment style while gradually increasing exposure to consumer sectors, particularly those with strong barriers to entry and low price-to-earnings ratios compared to international peers [10][11]. Group 3: Company Resilience and Future Outlook - China Merchants Fund has a robust research team with over 70 investment professionals, ensuring continuity and stability despite the managerial change [11]. - The firm has implemented a unique "1+7" investment research model, which has contributed to its leading performance in the medium-sized fund category over the past year [11]. - The transition to Lu Wenkai is seen as a strategic move to blend growth potential with enhanced risk management, potentially opening new avenues for value creation in the fund [11].