Core Insights - The report highlights the significant performance differentiation among 419 actively managed equity funds established in 2015, with a focus on long-term returns and strategic adjustments in holdings [1] Fund Performance - Only 2 funds have surpassed 10 billion yuan in size, namely Dachen Gaoxin A (16.623 billion yuan) and Zhongou Shidai Xianfeng A (12.251 billion yuan) [2] - Dachen Gaoxin A has achieved a cumulative return of 416.25% since its inception, with an annualized return of 16.51%, growing from 176 million yuan to 16.623 billion yuan, a nearly 95-fold increase [2][6] - Zhongou Shidai Xianfeng A has a total return of 345.15% over 10 years, with an annualized return of 16.12%, ranking 5th among 136 similar funds [6] Portfolio Composition - The funds have invested heavily in leading companies across various sectors, including China Mobile, Midea Group, Haomai Technology, and Tencent, reflecting a balanced approach between stable blue-chip stocks and high-growth companies [4] - Significant adjustments were made in the third quarter, with major reductions in cyclical and overseas assets, including a 43.91% reduction in China National Offshore Oil Corporation and a 22.07% reduction in Fuyao Glass [6][7] Investment Strategy - The fund managers emphasize a long-term investment philosophy focused on stock selection and understanding business fundamentals, contrasting with short-term trading behaviors [6][10] - In the AI sector, the funds are investing in areas such as humanoid robots, autonomous driving, and AI smart terminals, driven by positive industry trends and commercial viability [10] Market Trends - The report indicates a trend of increasing investment in cyclical and high-end manufacturing sectors, with notable increases in holdings of Wanhuachina and Sany Heavy Industry by 20.75% and 19.10%, respectively [9] - The balance between fund performance and size is highlighted as a critical consideration for fund managers and investors, with larger funds potentially facing flexibility issues and smaller funds at risk of liquidation [10]

Core Viewpoint - The performance of "billion-level" active equity funds has rebounded significantly in 2025, with many funds achieving positive returns due to early investments in popular sectors such as healthcare and technology [1][2][6]. Fund Performance Summary - As of mid-2025, there are 22 "billion-level" active equity funds, with most achieving positive returns by August 15. Notably, Penghua Carbon Neutral Theme A and Yongying Advanced Manufacturing Select A have year-to-date returns of 73.46% and 65.27%, respectively [2][4]. - Other funds like ICBC Frontier Medical A and Ruiyuan Growth Value A have also performed well, with returns exceeding 30% [2][4]. - The funds managed by Zhao Bei (ICBC Frontier Medical A) and Ge Lan (China Europe Medical Health A) have heavily invested in the innovative drug sector, contributing to their strong performance [2][6]. Market Outlook - The market is expected to enter a more resilient and sustainable "slow bull" phase, driven by policy support, liquidity easing, and ongoing industrial upgrades [1][9]. - Multiple institutions are optimistic about the market's mid- to long-term upward trajectory, citing a positive feedback loop in capital flow and improved supply-demand dynamics [7][9]. - The current market sentiment is high, with significant capital inflows from various investor types, including retail and institutional investors [7][9]. Sector Insights - The innovative drug sector is experiencing rapid development, with domestic companies increasingly aligning with global standards and gaining recognition from multinational pharmaceutical firms [6]. - The technology sector, particularly in AI and advanced manufacturing, is expected to drive the revaluation of Chinese assets, supported by structural reforms in traditional industries [9].