Core Viewpoint - The recent regulatory crackdown on the "real-time valuation" feature of mutual funds across major platforms aims to address industry chaos and promote long-term investment principles [5][13]. Regulatory Actions - Major platforms have removed features like "real-time valuation," "live rankings," and "increased holdings rankings" in response to regulatory requirements [1][15]. - The China Securities Regulatory Commission (CSRC) issued a notice mandating the removal of these features by January 30, 2026, highlighting two main violations: collaboration with unqualified internet influencers and the reintroduction of previously banned features [15][16]. Reasons for Regulation - The core reasons for the removal of the "real-time valuation" feature include: 1. **Inherent Data Errors**: The data provided by third-party platforms is based on outdated reports, leading to discrepancies with actual net values, which can mislead investors and cause disputes [5][13]. 2. **Encouragement of Short-term Trading**: The feature promotes a short-term trading mentality, contrary to the fundamental principle of long-term investment, resulting in lower returns for frequent traders compared to long-term holders [5][13]. 3. **Marketing Malpractices**: Some fund companies have exploited the feature in collaboration with unqualified influencers, leading to misleading promotions and significant losses for investors [6][14]. 4. **Industry Ecosystem Upgrade**: The regulation aims to shift the focus from stimulating transactions to providing professional services, thereby enhancing investor protection [6][14]. Impact on Investors - Investors are advised to adjust their strategies post-removal of real-time valuation by focusing on: 1. **Understanding Actual Holdings**: Analyzing periodic reports for insights into the fund's top holdings and management strategies rather than relying on real-time estimates [8][16]. 2. **Evaluating Long-term Risk and Return**: Establishing performance evaluation mechanisms over longer periods to assess the fund's ability to generate excess returns and manage risks [9][16]. 3. **Implementing Dollar-Cost Averaging**: Adopting a disciplined investment approach to mitigate emotional trading and benefit from market fluctuations over time [9][17].