Core Viewpoint - The China Securities Regulatory Commission (CSRC) has approved the establishment of a sales subsidiary by E Fund Management Co., marking the first approval for a public fund sales subsidiary in a year, indicating a renewed interest in wealth management services within the public fund industry [2][3]. Group 1: Approval of Sales Subsidiary - The CSRC approved E Fund's establishment of E Fund Wealth Management Fund Sales (Guangzhou) Co., Ltd., with a registered capital of 100 million RMB, focusing on securities investment fund sales [2]. - This subsidiary is the 9th public fund sales subsidiary approved, following approvals for subsidiaries from other fund companies such as Harvest Fund, GF Fund, and others [2]. - The last approval prior to this was in June 2024 for Huatai-PineBridge Fund, with the previous one dating back to 2021 [3]. Group 2: Shift to Buy-side Investment Advisory Services - E Fund's new subsidiary will concentrate on buy-side investment advisory services and plans to apply for qualifications in fund sales and investment advisory [5]. - The establishment of this subsidiary aligns with the broader trend of public funds transitioning towards wealth management, supported by government initiatives [5][6]. - The "Nansha Financial 30 Articles" released in 2025 emphasizes the development of public fund investment advisory services, showcasing the government's commitment to this sector [5]. Group 3: Growth in Fund Sales Market - The public fund sales market is currently characterized by a "triple dominance" of banks, securities firms, and third-party institutions, with the top ten funds requiring a minimum of 100 billion RMB in assets [4]. - As of the end of 2024, three public fund sales subsidiaries have entered the top 100 list based on fund sales scale, indicating a competitive landscape [4]. - E Fund's investment advisory services have reportedly served over 120,000 individual clients and more than 100 institutional clients, with a client profitability rate of approximately 70% since the service's launch [6].