Core Insights - The report discusses the adaptability of secondary bond funds in high volatility environments, emphasizing diverse strategies for selecting aggressive products [3][12]. - It highlights the importance of high allocation and growth styles in secondary bond funds, suggesting that funds with a weighted average stock PE above 30 times are classified as growth style funds [4][12]. - The report also notes the increasing investment in Hong Kong stocks by secondary bond funds, with a stock market value ratio reaching 11.21% in Q3 2025 [12]. Summary by Sections High Allocation Strategy - High allocation secondary bond funds typically maintain high positions, with an average convertible bond allocation exceeding 30% across 64 funds, including both conservative and aggressive styles [3][12]. - A three-dimensional selection system is recommended, focusing on high elasticity, favorable holding experience, and cost-effectiveness, evaluated through three core indicators and five sub-indicators [12]. Growth Style - Growth style funds are identified by their holding stocks with a PE ratio above 30, with evaluations based on holding experience and risk-return ratios, particularly the Sharpe ratio [4][12]. - The report emphasizes the need to consider industry rotation, portfolio construction methods, and the balance between growth and quality [4][12]. Hong Kong Stock Strategy - The report indicates a continuous increase in the proportion of Hong Kong stock investments within secondary bond funds, with specific funds maintaining stable positions in this market [12]. - It mentions that the investment limit for Hong Kong stocks is capped at 50% of the stock assets for products that can invest in Hong Kong stocks [12]. Tool-based Products - Tool-based products within secondary bond funds include strategies focused on innovation and micro-cap stocks, with specific funds targeting these areas [12]. - The report identifies representative products for micro-cap strategies and highlights the unique index-enhanced strategy products focused on innovation [12].

Core Insights - The report emphasizes the diverse strategies of secondary bond funds and the significant differences in their risk-return profiles, suggesting a focus on high-positioning and growth-oriented funds to capitalize on high-growth sectors [3][12] - It highlights the increasing investment in Hong Kong stocks by secondary bond funds, with the proportion reaching 11.21% of stock market value in Q3 2025, indicating a trend towards technology-driven assets [12] - The report outlines a three-dimensional selection system for high-elasticity products, focusing on high performance, good holding experience, and cost-effectiveness [12] Summary by Sections Secondary Bond Fund Strategies - The report identifies four main strategies for selecting secondary bond funds suitable for high volatility environments: high positioning, growth style, Hong Kong stock strategy, and tool-type products [3][12] - High-positioning funds typically have an average convertible bond position exceeding 30%, with 64 funds identified, ranging from conservative to aggressive styles [12] - Growth style funds are characterized by a weighted average PE ratio above 30, with evaluations based on holding experience and risk-return ratios [4][12] Hong Kong Stock Strategy - The report notes a continuous increase in the investment ratio of secondary bond funds in Hong Kong stocks, with specific funds maintaining stable positions [12] - It mentions that the investment limit for products that can invest in Hong Kong stocks is capped at 50% of their stock assets [12] Tool-Type Products - The report discusses the emergence of tool-type products within secondary bond funds, including strategies focused on innovation and micro-cap stocks [12] - It highlights specific funds that target dual innovation strategies and micro-cap stocks, indicating a growing trend in specialized investment approaches [12]

1. Report Industry Investment Rating - No relevant content provided. 2. Core Viewpoints of the Report - In Q2 2025, the scale of fixed - income + funds increased steadily, with a focus on the rising scale of first - tier bond funds and a warming issuance market. The equity positions of these funds were generally reduced, while the allocation ratio of Hong Kong stocks continued to increase. In terms of industry allocation, there was a unified increase in the allocation of financial real estate, science and technology innovation, and pharmaceutical and biological sectors, and a decrease in advanced manufacturing, cyclical, and consumer sectors. In terms of performance, the median return and maximum drawdown of fixed - income + funds were 1.21% and - 1.27% respectively, and products with higher stock positions performed better. Huatai Baoxing Fund and Yongying Fund led in overall performance [2][31][44]. 3. Summary According to the Table of Contents 3.1 Scale Changes: Market Attention to the Allocation Value of First - Tier Bond Funds Has Significantly Increased - **Overall Scale Trend**: In Q2 2025, the scale of fixed - income + funds increased again, with a total of 1366 funds and a total scale of 1.37 trillion yuan. The cumulative scale increased by 905.82 billion yuan, with the continued operation scale rising by 601.44 billion yuan and the total scale of newly issued funds reaching 151.73 billion yuan. Low - position and high - convertible - bond - position fixed - income + funds saw a relatively large increase in scale, while other types of products showed a slight decline. The scale of hybrid bond - type first - tier funds rose rapidly [8][10]. - **New Product Dynamics**: In Q2 2025, fund companies issued a total of 16 fixed - income + funds, with a total initial offering scale of 15.2 billion yuan. The monthly issuance situation varied greatly, with April and May being relatively cold and June showing a significant improvement [19]. - **Fund Company Dimension**: Most of the top 20 fund companies in terms of management scale saw an increase in their managed scale. The company with the largest increase in scale was Invesco Great Wall Fund, with an increase of 15.456 billion yuan this quarter, followed by Industrial Fund and Huatai Baoxing Fund. Some fund companies, such as China Merchants Fund, Tianhong Fund, and Anxin Fund, saw a decline in scale [23]. - **Sustained Operation and Initial Offering**: The top ten funds in terms of net subscription amount in Q2 2025 were approximately between 3 - 7 billion yuan, with Dacheng Yuanchen Zhaoli, Invesco Great Wall Jingtai Chunli, and Bank of China State - owned Enterprise Bond being the top three. The top ten funds in terms of initial offering scale had initial offering shares between 600 million and 3 billion, with Orient Securities Asset Management's Orient Yufeng Return, Rongtong Zengyuan, and CITIC Prudential Huili being the top three [26]. - **Investor Preference**: In Q2 2025, the scale of fixed - income + funds with a large number of holders was relatively stable. The scale of fixed - income + funds preferred by institutions rose and fell unevenly this quarter, with Invesco Great Wall Jingtai Chunli, Huatai Baoxing Zunli, and Harvest Zhian 3 - Month having the largest scale increases [28]. 3.2 Investment Characteristics: Equity Positions Reduced, Hong Kong Stock Allocation Continued to Increase - **Asset Allocation Characteristics**: In Q2 2025, fixed - income + funds generally reduced their equity positions but continued to increase their allocation ratio of Hong Kong stocks. The equity market experienced uncertainty in April due to tariff shocks and then gradually recovered, showing a distinct structural market. The bond market also changed significantly, showing a downward - then - oscillating trend [31]. - **Industry Allocation Characteristics**: All types of fixed - income + funds had similar views on sector allocation in Q2 2025, uniformly reducing the allocation ratio of advanced manufacturing, cyclical, and consumer sectors and increasing the allocation of financial real estate, science and technology innovation, and pharmaceutical and biological sectors [36]. - **Industry Allocation Characteristics at the Fund Company Level**: Among the top 10 fund companies in terms of fixed - income + fund scale in Q2 2025, there were significant differences in industry allocation. For example, China Europe Fund and Bank of China Fund significantly over - allocated the financial real estate sector, while China Merchants Fund and Tianhong Fund significantly under - allocated it [38]. - **Industry Allocation Characteristics of High - Performing Fixed - Income + Funds**: High - performing fixed - income + funds in Q2 2025 had significant differences in industry allocation. Some products heavily invested in industries such as banks, non - ferrous metals, communications, national defense and military industry, and building decoration, with the proportion of the largest industry exceeding 50% of the market value of heavy - position stocks [41]. 3.3 Performance Review: Huatai Baoxing Fund and Yongying Fund Led - **Overall Performance of Fixed - Income + Funds in the Market**: In Q2 2025, the median return and maximum drawdown of fixed - income + funds were 1.21% and - 1.27% respectively. Products with higher stock positions performed better this quarter. Specifically, the median returns of low, medium, and high - position fixed - income + funds were 1.12%, 1.15%, and 1.29% respectively [44]. - **Performance at the Fund Company Level**: Among the fund companies with a large scale of fixed - income + funds, Huatai Baoxing Fund and Yongying Fund had the highest average returns, with representative products being Huatai Baoxing Zunli and Yongying Stable Enhancement respectively. In terms of performance differentiation, the performance of products under China Europe Fund and E Fund was relatively similar this quarter, while the performance of products under Huatai Baoxing Fund and China Merchants Fund had a higher degree of differentiation [45]. - **Performance Review of Large - Scale Funds**: In Q2 2025, the performance of large - scale fixed - income + funds varied. Products with top - ranked performance among those with the same strategy included E Fund Enhanced Return, Invesco Great Wall Jingyi Shuangli, and Invesco Great Wall Jingsheng Shuangxi. Products with relatively high absolute returns included Huatai Baoxing Zunhe, Invesco Great Wall Jingyi Shuangli, and E Fund Dual - Bond Enhancement [49]. - **High - Performing Products of Different Types of Fixed - Income + Funds**: After ranking the returns of various types of fixed - income + funds in Q2 2025 in descending order, the top - ranked products included Ping An Ruishang Six - Month Holding, Donghai Beautiful China, Rongtong Stable Credit Gain Six - Month Holding, and China Merchants Anrui Progress [51].