Core Viewpoint - The investment style of public funds in China is shifting from traditional core assets to emerging industries, driven by economic transformation and policy support, leading to a focus on thematic investments rather than broad market selection [2][3][5]. Group 1: Investment Strategy Changes - Public funds are moving from a "full market selection" strategy to a "thematic investment" approach, allowing for better positioning in high-growth stocks and enhancing competitiveness in performance rankings [3][4]. - The previous success of large-cap stocks like Sany Heavy Industry and Kweichow Moutai has diminished, with thematic products now dominating annual performance rankings [4][5]. - The rapid development of broad-based indices and Smart Beta products has made traditional active equity products less competitive, necessitating differentiation in style and active management [5][6]. Group 2: Thematic Investment Trends - Thematic funds have gained prominence, focusing on high-growth sectors such as artificial intelligence and innovative pharmaceuticals, which are seen as more lucrative compared to traditional sectors [6][7]. - Structural opportunities are increasingly concentrated in a few high-growth sectors, leading to significant performance disparities among funds [7][8]. - The focus on single themes allows for potentially higher returns, but also increases volatility and risk, necessitating careful management of exposure and risk [8][9]. Group 3: Challenges of Thematic Investment - Thematic investment requires deeper industry understanding and foresight, raising the bar for fund managers in terms of research and analysis capabilities [9][10]. - The need for rigorous valuation and risk management frameworks is heightened, as concentrated investments in specific sectors can lead to significant impacts from individual stock performance or policy changes [10][11]. - The complexity of managing concentrated portfolios increases, demanding more sophisticated risk management strategies to mitigate potential losses [10][11]. Group 4: Future of Investment Strategies - The "full market selection" strategy is not expected to disappear, as it offers unique advantages in capturing structural opportunities across various sectors [12][13]. - The market's aesthetic preferences will continue to evolve, but the fundamental skills associated with "full market selection" will remain relevant [12][13]. - The dual nature of thematic investments presents both opportunities for high returns and risks of significant losses, emphasizing the need for careful asset allocation and risk management [14][15].

Core Insights - Recent data shows a nearly 130 percentage point performance gap between different products managed by the same fund manager at Morgan Stanley Fund, highlighting potential risks in the "star manager, light product" investment model [2][6] - The case raises questions about the research and investment system, risk control mechanisms, and product layout rationality within fund companies [2] Group 1: Fund Manager Performance - Lei Zhiyong, a fund manager at Morgan Stanley, achieved the best market performance in 2024 with his fund focused on the digital economy, boasting a cumulative return of 125.88% since March 2, 2023, significantly outperforming the average of 12.47% [4] - Lei manages a total of 8 funds, with some showing outstanding performance, while others, like the Morgan Stanley Innovation Mixed A fund, have underperformed, with a return of -7.72% since May 7, 2020, compared to the average of 45.38% [5][6] Group 2: Performance Disparity Among Products - Wang Dapeng, another core fund manager at Morgan Stanley, has a stark performance disparity among his products, with the best-performing fund, Morgan Stanley Health Industry Mixed A, returning 81.40%, while the worst, Morgan Stanley Health Industry Mixed C, has a return of -47.78% [6][7] - The significant performance gap raises concerns about investor trust and reflects potential deficiencies in compliance and responsibility awareness among fund managers [7] Group 3: Market and Strategy Impact - Analysts suggest that the performance of fund managers is closely linked to the alignment of their investment strategies with market conditions, indicating that external factors such as macroeconomic changes can heavily influence fund performance [8] - The phenomenon of performance disparity may also stem from fund managers' divided attention when managing multiple products, leading to varied execution priorities and outcomes [8]

Group 1 - Morgan Stanley Fund Management (China) has experienced performance divergence among its fund managers this year, with Lei Zhiyong's Digital Economy fund showing strong results, while Wang Dapeng's Health Industry fund underperformed the index and benchmark returns [1][2] - The Digital Economy Mixed A fund managed by Lei Zhiyong has achieved a year-to-date return of 71% as of November 9, significantly outperforming the benchmark by 46 percentage points, and ranking among the top in its category [1] - Over the past year, the Digital Economy fund has delivered nearly 80% returns, exceeding the benchmark by approximately 59 percentage points, and has achieved a remarkable 192% return over the past two years [1] Group 2 - The Health Industry Mixed A fund, managed by Wang Dapeng, has heavily invested in the popular innovative drug sector but has only realized a year-to-date return of 5%, underperforming the benchmark by nearly 11 percentage points [2] - The Health Industry fund has shown negative returns over various time frames, with returns of -2%, -16%, -27%, and -32% over the past year, two years, three years, and five years respectively, all trailing the benchmark returns [2]

Group 1 - Morgan Stanley Fund Management (China) has experienced performance divergence among its fund managers this year, with Lei Zhiyong's Digital Economy fund performing exceptionally well, while Wang Dapeng's Health Industry fund underperformed the index and benchmark returns [1][2] - The Digital Economy Mixed A fund managed by Lei Zhiyong has shown strong performance, achieving a year-to-date return of 71% as of November 9, significantly surpassing the benchmark return by 46 percentage points [1] - Over the past year, the Digital Economy fund has nearly 80% returns, exceeding the benchmark by approximately 59 percentage points, and has achieved a remarkable 192% return over the past two years [1] Group 2 - The Health Industry Mixed A fund, managed by Wang Dapeng, has heavily invested in the popular innovative drug sector but has only achieved a year-to-date return of 5%, underperforming the benchmark by nearly 11 percentage points [2] - Over longer periods, the Health Industry fund has recorded returns of -2%, -16%, -27%, and -32% over the past year, two years, three years, and five years respectively, consistently underperforming the benchmark returns [2]

Core Insights - The equity market has shown signs of recovery since the "924" market rally, with an average increase of 80% across the A-shares, indicating a slow bull market trend [1] - During the one-year anniversary of the "924" rally, 1989 stock fund managers achieved an average return of 53.21%, with 146 managers doubling their returns [1] Group 1: Fund Managers with Over 100 Billion in Assets - Among the 184 fund managers managing over 100 billion, the average return during the "924" rally anniversary was 56.05%, with all achieving positive returns [1] - The top three fund managers in this category were Zhang Lu from Yongying Fund, Zheng Weishan from Galaxy Fund, and Yan Siqian from Penghua Fund [1][5] - Zhang Lu's funds achieved a remarkable return of 203.05%, with his flagship product, "Yongying Advanced Manufacturing Smart Selection Mixed A," returning 253.12% [5][6] Group 2: Fund Managers with 50-100 Billion in Assets - In the 50-100 billion category, 191 stock fund managers had an average return of 58.40%, with 23 managers doubling their returns [7] - The top three fund managers were Nong Bingli from Invesco Great Wall Fund, Sun Quan from Fortune Fund, and Xiao Ruijin from Bosera Fund [7][10] - Nong Bingli's funds achieved a return of 165.53%, with his representative product returning 151.02% [10] Group 3: Fund Managers with 20-50 Billion in Assets - Among 360 fund managers in this category, the average return was 55.22%, with 31 managers doubling their returns [11] - The top three were Lei Tao from Debang Fund, Wang Wenlong from Yongying Fund, and Wu Yang from E Fund [11][15] - Lei Tao's funds achieved a return of 172.03%, focusing on AI technology stocks [15] Group 4: Fund Managers with 10-20 Billion in Assets - In this segment, 309 fund managers had an average return of 54.09%, with 18 managers doubling their returns [16] - The top three were Ren Jie from Yongying Fund, Lu Yang from Debang Fund, and Han Hao from AVIC Fund [16][19] - Ren Jie achieved a return of 239.88%, with a focus on AI-related stocks [19] Group 5: Fund Managers with 5-10 Billion in Assets - The average return for 244 fund managers in this category was 52.55%, with 14 managers doubling their returns [20] - The top three were Zhou Jiansheng from Nord Fund, Dai Yi from Changsheng Fund, and Chen Peng from Anxin Fund [20][24] - Zhou Jiansheng's funds achieved a return of 179.19%, primarily investing in AI technology stocks [24] Group 6: Fund Managers with 0-5 Billion in Assets - Among 700 fund managers, the average return was 49.88%, with 47 managers doubling their returns [25] - The top three were Leng Wenpeng from CITIC Construction Investment Fund, Liu Xiaoming from Xinda Aoya Fund, and Li Ningning from Zhongjia Fund [25][29] - Leng Wenpeng's funds achieved a return of 261.14%, with his flagship product returning 263.38% [29]

Group 1 - Zhongheng Electric (002364.SZ) released its semi-annual report for 2025 on August 21, 2025, indicating that as of August 20, 2025, 11 institutional investors disclosed holding A-shares of Zhongheng Electric, totaling 220 million shares, which accounts for 39.02% of the total share capital [1] - The top ten institutional investors include Hangzhou Zhongheng Technology Investment Co., Bank of China - Morgan Stanley Digital Economy Mixed Securities Investment Fund, Hong Kong Central Clearing Limited, and others, with the top ten investors collectively holding 39.01% of the shares, an increase of 0.32 percentage points compared to the previous quarter [1] Group 2 - In the public fund sector, there was an increase in holdings from one public fund, namely Morgan Stanley Digital Economy Mixed A, with an increase of 0.52% [2] - Three public funds reduced their holdings compared to the previous quarter, including Debon Xinxing Value A, Debon Fuxin A, and Jiahe Ruijin Mixed A, with a total reduction of 0.39% [2] - Four new public funds were disclosed this period, including Guoshou Anbao Low Carbon Economy Mixed A, Morgan Stanley Technology Leading Mixed A, Morgan Stanley Basic Industry Mixed, and Guoshou Anbao Jingchen 6-Month Holding Period Mixed A [2] - One new foreign institution disclosed this period, which is Hong Kong Central Clearing Limited [2]

Core Viewpoint - Zhongheng Electric has experienced a decline in stock price over four consecutive trading days, with a cumulative drop of -5.29% [1] Company Overview - Zhongheng Electric Co., Ltd. was founded in 1996 and listed on the Shenzhen Stock Exchange in March 2010. The company focuses on building a zero-carbon intelligent society and operates in the digital energy sector [1]. Financial Performance - Morgan Stanley Fund's "Morgan Stanley Digital Economy Mixed A" has entered the top ten shareholders of Zhongheng Electric, marking a new investment in the second quarter of this year. The fund has achieved a return of 15.60% year-to-date, ranking 1404 out of 4491 in its category [1]. Fund Manager Profile - The fund manager of Morgan Stanley Digital Economy Mixed A is Lei Zhiyong, who holds a master's degree in computer software and theory from Peking University. He has held various positions in telecommunications and fund management since joining Morgan Stanley in October 2014 [4][5].

Group 1 - Guanghe Technology (001389.SZ) released its 2024 annual report on April 1, 2025, indicating that as of March 31, 2025, 215 institutional investors disclosed holdings in Guanghe Technology A-shares, totaling 338 million shares, which accounts for 79.58% of the total share capital [1] - The top ten institutional investors include Guangzhou Zhenyun Investment Co., Ltd., Shenzhen Guangxie Investment Enterprise (Limited Partnership), and others, with a combined holding ratio of 77.28%, showing a decrease of 0.54 percentage points compared to the previous quarter [1] Group 2 - In the public fund sector, 202 new public funds were disclosed this period compared to the previous quarter, including major funds such as Morgan Stanley Digital Economy Mixed A and Xinao New Energy Industry Stock [2] - There were 16 public funds that were not disclosed this period, including Internet Leaders ETF and Huatai-PineBridge MSCI China A50 Connect ETF [2]

Group 1 - Blue Silicon Technology (300433.SZ) released its 2024 annual report on March 28, 2025, with 190 institutional investors holding a total of 3.804 billion shares, representing 76.34% of the total share capital [1] - The top ten institutional investors collectively hold 73.40% of the shares, with a slight decrease of 0.16 percentage points compared to the previous quarter [1] Group 2 - In the public fund sector, two funds increased their holdings, accounting for a 0.26% increase, while six funds decreased their holdings, representing a 0.10% decrease [2] - A total of 14 new public funds were disclosed this period, while 123 funds were not disclosed compared to the previous quarter [2] - One foreign fund, Hong Kong Central Clearing Limited, increased its holdings by 0.19% [2]

Group 1 - SMIC (688981.SH) released its 2024 annual report on March 28, 2025, indicating that as of March 27, 2025, 535 institutional investors disclosed holding shares in SMIC A-shares, totaling 817 million shares, which accounts for 10.25% of SMIC's total share capital [1] - The top ten institutional investors include notable entities such as the National Integrated Circuit Industry Investment Fund II, China Merchants Bank, and various ETFs focused on the semiconductor sector, with the top ten collectively holding 7.17% of the shares [1] - Compared to the previous quarter, the combined holding percentage of the top ten institutional investors decreased by 1.25 percentage points [1] Group 2 - In the public fund sector, three funds reported a decrease in holdings compared to the previous quarter, with a total reduction of 0.95% [2] - A total of 31 new public funds were disclosed during this period, including various ETFs and mixed funds focused on large-cap indices and digital economy [2] - There were 230 public funds that did not disclose holdings in this period, including several semiconductor-focused ETFs and mixed funds [2]