Core Viewpoint - The A-share market showed strong performance in August, with major indices rising significantly, yet the excess returns of stock strategy private equity products were disappointing, marking the worst monthly performance of the year [1][2]. Group 1: Market Performance - In August, the Shanghai Composite Index rose by 7.97%, the Shenzhen Component Index increased by 15.32%, and the ChiNext Index surged over 24% [1]. - Despite the strong market, the average excess return of 3,122 stock strategy private equity products was -1.97%, the worst monthly performance this year [1]. Group 2: Quantitative vs. Subjective Strategies - Quantitative private equity products experienced a notable decline, with an average excess return of -3.94% in August, while subjective private equity products had an average excess return of -1.00% [1]. - The significant decline in quantitative products is attributed to a reversal in style, particularly the outperformance of large-cap stocks over small-cap stocks, and severe sector differentiation due to rapid growth in financing scale [1][2]. Group 3: Consistent Performers - As of August 2025, only 95 stock strategy private equity products achieved positive excess returns for eight consecutive months, representing about 3% of the total [2]. - Among private equity firms with over 10 billion in assets, 46 products achieved positive excess returns for eight consecutive months, all of which were quantitative products, with an average excess return of 0.63% in August and 17.91% year-to-date [3]. Group 4: Top Performers by Asset Size - In the 20-100 billion category, 14 products achieved positive excess returns for eight consecutive months, with an average excess return of 1.83% in August and 22.48% year-to-date [7]. - The top three products in this category were "New Thinking Multi-Strategy 3", "Pansong Micro-Cap Index Enhanced 1", and "Giraffe 7", with year-to-date excess returns of ***% [11]. Group 5: Small and Emerging Firms - In the 5-20 billion category, 13 products achieved positive excess returns for eight consecutive months, with an average excess return of 5.34% in August and 57.58% year-to-date [13]. - The leading product in the 0-5 billion category was "Zijin Yunsong", achieving a year-to-date excess return of ***% [18].

Core Viewpoint - The A-share market has shown a strong performance, with the Shanghai Composite Index reaching 3700 points, indicating a recovery from previous economic shocks. A trend of gradual growth has emerged since April 27, following the impact of U.S. tariffs, leading to a widening gap between stock strategies and other primary strategies [1]. Summary by Categories Market Performance - The A-share market has entered a four-month trend of gradual growth, with a noticeable recovery in the index [1]. - Quantitative long strategies and subjective long strategies have both performed well, with quantitative long strategies achieving a return of 25.02% and subjective long strategies averaging 5.86% in July [3][4]. Strategy Performance - Among various strategies, subjective long strategies have outperformed quantitative long strategies due to their concentrated positions and flexibility in trading [4]. - The average return for subjective long strategies across different scales of private equity funds has been significant, with the highest returns observed in the 10-20 billion category at 25.43% [18]. Fund Performance - The top-performing subjective long products in the 100 billion category include "和谐汇一医疗创新B类份额" managed by 施跃, achieving a return of ***% [7][5]. - In the 50-100 billion category, "同犇22期" managed by 童驯 led with a return of ***% [14]. - The 20-50 billion category saw "丹羿鹏程1号1期" managed by 王帅 achieving a return of ***% [17]. - In the 10-20 billion category, "能敬价值优选二号" managed by 孙杰 led with a return of ***% [21]. - The 5-10 billion category was topped by "优波三号A类份额" managed by 陈龙 with a return of ***% [24]. - The 0-5 billion category saw "子衿云杉" managed by 邹凯 achieving a return of ***% [28]. Investment Insights - Fund managers are focusing on sectors such as innovative pharmaceuticals and medical devices, indicating a re-evaluation of high-quality assets in China [8]. - The market is currently in a phase where investors are cautious about the sustainability of earnings for companies that have seen significant price increases [8].

Core Viewpoint - The article emphasizes the importance of the Sharpe ratio as a key metric for evaluating the performance of private equity products, highlighting that a higher Sharpe ratio indicates better risk-adjusted returns and is a significant criterion for investors when selecting funds [1][3]. Summary by Categories 100 Billion and Above - Among the 432 stock strategy products, the average return from January to July is 18.45%, with an average Sharpe ratio of 2.56, indicating strong performance in the 100 billion and above category [2][3]. - The top three products in this category are managed by Wenbo Investment, Kuande Private Equity, and Evolution Asset, all of which are quantitative long strategies [3]. 50-100 Billion - In the 50-100 billion category, there are 158 stock strategy products with an average return of 16.32% and an average Sharpe ratio of 2.21 [6]. - The leading products are from Pingfang Investment, Dadao Investment, and Tiansuan Quantitative, showcasing a mix of quantitative and subjective strategies [6]. 20-50 Billion - The 20-50 billion category includes 265 stock strategy products, with an average return of 18.80% and an average Sharpe ratio of 2.26 [10]. - The top products are managed by Jiuming Investment, Xiangmu Asset, and Zhaorong Hui Li Private Equity, indicating a strong performance in this segment [10]. 10-20 Billion - In the 10-20 billion category, the average return is 23.84% with an average Sharpe ratio of 2.02 [12]. - The leading product is managed by Yangshi Asset, reflecting a notable performance in this size category [12]. 5-10 Billion - The 5-10 billion category has 387 stock strategy products, with an average return of 21.08% and an average Sharpe ratio of 1.69 [16]. - The top products are from Manfeng Asset, Hanxin Fund, and Mingyu Investment, indicating competitive performance [16]. 0-5 Billion - In the 0-5 billion category, there are 1173 stock strategy products with an average return of 17.57% and an average Sharpe ratio of 1.60 [21]. - The leading products are from Hunan Zijin Private Equity, Guangzhou Tianzhanhan, and Quancheng Fund, showing a diverse range of strategies [21].