Core Viewpoint - The focus on multi-asset risk hedging is crucial for capturing multiple sources of returns in the FOF (Fund of Funds) market, with strategic allocation providing systematic beta returns as the main source of portfolio gains [1][4]. Multi-Asset Risk Hedging - Multi-asset risk hedging is identified as an important source of returns, emphasizing the need for a combination of subjective and quantitative approaches in investment strategies [3]. - The investment philosophy includes a focus on representative and liquid index funds, as well as actively managed funds that aim for long-term excess returns [3]. Strategic Asset Allocation - Strategic asset allocation is the primary step in portfolio investment, requiring an analysis of the risk-return characteristics and correlations of various asset classes [4]. - The systematic beta returns from strategic allocation are considered the main source of portfolio gains, even in the absence of tactical timing or alpha returns [4]. - The allocation strategy should be tailored to different funding characteristics, with an emphasis on recognizing macroeconomic conditions to enhance confidence in asset allocation ratios [4]. Market Outlook - The upcoming structural reforms in the capital market, represented by the new "National Nine Articles," are expected to reshape the A-share ecosystem in the long term [5]. - A potential recovery in the domestic inventory cycle and the global semiconductor cycle may enhance risk appetite [5][6]. - The focus on technology and manufacturing sectors is highlighted as a key area for growth, particularly in the context of the digital economy [6]. - The long-term downtrend in interest rates is anticipated to benefit high-dividend strategies, while investment opportunities in Hong Kong stocks are also emphasized [6].

Core Insights - The average performance of 515 public FOFs (Fund of Funds) reached 9.41% year-to-date as of August 22, with only one product showing negative returns [1] - Nearly 40 public FOFs have a cumulative net value growth rate exceeding 20% for the year [1] - The top performers include Guotai's Preferred Navigation One-Year Holding and Guotai's Industry Rotation A, with annual net value increases of 45.49% and 39.97%, respectively [1] - Other notable performers include ICBC's Smart Growth One-Year A, E Fund's Advantage Return A, ICBC's Pension 2050 A, and Bank of Communications' Smart Star A, all achieving around 30% returns [1] - Overall, public FOFs are experiencing their best performance in five years, both in terms of top performance and overall results [1]

Group 1 - The core viewpoint emphasizes that multi-asset risk hedging is a significant source of capturing multiple returns, with strategic allocation providing systematic beta returns as the main source of portfolio returns [1][3] - The investment strategy should be tailored according to the nature of the funds, with tactical asset allocation focusing on short to medium-term opportunities to achieve alpha returns [1][3] - The growth sectors to watch include those characterized by technology and manufacturing [1][4] Group 2 - As of now, six FOF products managed by the company have shown good returns, with the "工银睿智进取一年A" fund achieving a 14.88% return year-to-date and a 31.62% net value growth over the past year [2] - The fund's asset allocation is diversified, with over 90% of its positions in various ETFs, including those focused on internet, innovative pharmaceuticals, chips, and gold [2] - The investment philosophy combines subjective and quantitative methods, utilizing macroeconomic analysis to assess economic cycles and systematic multi-perspective industry comparisons for asset allocation [2][3] Group 3 - Strategic asset allocation is crucial for investment, requiring an analysis of the risk-return characteristics and correlations of various asset classes to determine allocation ratios [3] - The principles for strategic asset allocation include a preference for equities over the long term and diversification to expand the investment scope [3][5] - The upcoming structural reforms in the capital market, represented by the new "国九条," are expected to reshape the A-share ecosystem positively [4][5] Group 4 - The macroeconomic outlook suggests that the domestic inventory cycle and global semiconductor cycle may be bottoming out, potentially enhancing risk appetite [4] - The focus on structural opportunities in equity assets will depend on policy support and profit recovery, with supply-demand improvements benefiting certain sectors [5] - The company highlights the importance of investing in technology and manufacturing sectors, particularly in the context of the digital economy and AI technology [5]

Group 1 - The core point of the article highlights the changing dynamics in FOF (Fund of Funds) investments, particularly the decline in holdings of gold ETFs, despite their popularity among fund managers [1][2] - As of the end of Q2 2025, the Huazhong Gold ETF has the highest number of FOF holdings, totaling 78, with a market value of 987 million yuan [1] - The top five funds with the most FOF purchases include Huazhong Gold ETF, Hai Futong Zhongzheng Short Bond ETF, Pengyang Zhongzheng 30-Year Treasury ETF, and others, indicating a shift in investment focus [2] Group 2 - The article discusses the performance of FOFs, noting that several funds have achieved over 20% returns year-to-date, with specific funds like Guotai Preferred Navigation and ICBC Smart Progress leading the way [4][5] - Fund managers are adopting a proactive investment strategy, focusing on sectors such as Hong Kong technology, innovative pharmaceuticals, and A-share new productivity themes, which are driving net asset value growth [3][6] - The outlook for the market suggests a focus on industry rotation opportunities, with key investment themes including rare earths, innovative pharmaceuticals, resource commodities, and the financial real estate sector [6][7]

Group 1 - The equity market has attracted attention again, with the Shanghai Composite Index recording four consecutive weeks of weekly gains, particularly in sectors like innovative pharmaceuticals and rare earths [1][2] - Publicly offered Fund of Funds (FOF) have shown high investment success rates, with some equity FOFs achieving weekly net value increases exceeding 4% [2][3] - The second quarter reports reveal that many funds have allocated resources to high-interest sectors, with specific sub-indices performing well and being heavily held by various FOFs [2][4] Group 2 - The performance of various funds indicates a focus on related sectors, with successful funds investing in both index and actively managed products, as well as in specific industry indices [3][4] - The A-share market continues its upward trend, driven by strong performance in the upstream computing sector and the telecommunications sector, while the banking sector has weakened [3][4] - Increasingly, FOFs are focusing on healthcare and military-related funds, with several funds making significant allocations to these sectors in their second-quarter reports [4][5] Group 3 - Long-term investment opportunities are anticipated in the military sector, with expectations of an overall market upturn as issues affecting military planning are resolved [5]

Group 1 - The public FOF (Fund of Funds) market is experiencing a significant increase in new issuance, with 31 new FOF products launched this year, surpassing the total issuance scale of 115.98 billion from 38 products in 2024 [2][3] - As of the end of Q2, the total net asset value of FOF funds reached 168.76 billion, marking a year-to-date increase of 26.74% and hitting a high point since September 2023 [2][3] - The growth in FOF scale is driven by both new issuances and performance improvements of existing FOFs, supported by a stabilizing A-share market and expanding personal pension fund listings [2][4] Group 2 - The majority of new FOF products are mixed-type, with 23 out of 31 being mixed FOFs, and several "popular" FOFs have raised over 60 billion in initial offerings, setting new records for single product fundraising in the past three years [3][4] - The average return for FOFs in the first half of the year was 3.11%, with some aggressive FOFs achieving returns over 14% by investing in thematic ETFs and overseas assets [4][5] Group 3 - Despite the growth in new FOF products, many existing FOFs are facing pressure due to small asset sizes, with 57 funds having net asset values below 50 million, and 170 funds below 200 million, leading to 13 funds being liquidated this year [5][6] - The small size of many FOF products is attributed to poor historical performance, inadequate risk management, and high levels of product homogeneity, which have resulted in low investor acceptance [6][7] Group 4 - Industry experts suggest that FOF products need to clarify their positioning, objectives, and investment strategies, while also enhancing investor engagement to improve the overall investment experience [7][8] - The FOF market is expected to continue evolving towards diversified asset allocation, with a focus on incorporating various investment tools such as ETFs and optimizing product structures to reduce competition among similar products [8]

Core Viewpoint - The FOF products have demonstrated strong performance in the first half of the year, leveraging their multi-asset strategy to achieve positive returns and gaining popularity in the market [1][3]. Performance Summary - As of June 30, 2025, the overall average return of FOFs for the first half of the year was 3.11%, with some aggressive FOFs achieving over 10% gains through investments in thematic ETFs, overseas assets, and commodity tools [2][4]. - Notable high-performing FOFs included Bohai Huijin's Preferred Progress with a 15.19% increase, ICBC's Smart Progress with a 14.88% increase, and ICBC's Pension 2050Y with a 14.59% increase [4]. Product Development - The issuance of new FOF products continued to rise, with 31 new products launched in the first half of the year, indicating sustained market interest in multi-asset allocation tools [8]. - The launch of products like Dongfanghong's Yingfeng Stable Allocation and Fuguo's Yinghe Selected, with significant initial scales of 65.73 billion and 60.01 billion respectively, reflects strong demand [8]. Strategy and Design - The successful FOFs generally adopted high elasticity and theme-driven asset allocation strategies, primarily focusing on passive index funds while also incorporating QDII and commodity assets [6][10]. - The trend towards more refined strategy design in FOF products is evident, especially in the areas of retirement goals and multi-asset allocation, with institutions actively integrating overseas mature experiences and technologies [8][11]. Market Trends - The rapid expansion of FOFs in the domestic market signifies investor recognition of professional asset allocation and highlights the accelerated adoption of multi-asset strategies in China [10]. - The FOF's cross-asset, cross-cycle, and cross-style allocation philosophy is increasingly valued in the current market environment characterized by macroeconomic uncertainties and frequent rotations between equity and fixed income markets [10].

Group 1 - FOF products demonstrated strong performance in the first half of the year, with an overall average return of 3.11% as of June 30, achieving positive returns [1] - Aggressive FOFs outperformed by allocating to thematic ETFs, overseas assets, and commodity tools [1][3] - The popularity of new FOF products continues to rise, with increasing diversification in product types and more refined strategy designs [3][6] Group 2 - Notable FOF products include Bohai Huijin's Preferred Aggressive 6-Month Hold A, ICBC's Wise Aggressive 1-Year A, and ICBC's Pension 2050Y, which achieved returns of 15.19%, 14.88%, and 14.59% respectively [4] - Bohai Huijin's product focuses on passive index products, particularly thematic ETFs, and includes various QDII products and commodity funds [4][5] - ICBC's Wise Aggressive also favors passive index strategies, with a focus on specific ETFs and a diversified asset allocation [5] Group 3 - The structure of ICBC's Pension 2050Y is more diversified, including active equity funds, passive index products, and fixed income assets [5] - High elasticity and theme-driven asset allocation strategies were common among top-performing FOFs, with a core focus on passive index funds [5][6] - A total of 31 new FOF products were launched in the first half of the year, with significant initial scales indicating strong market interest in diversified asset allocation tools [6][7] Group 4 - New products like Fidelity's Renyuan Stable 3-Month Hold FOF are designed to tap into China's pension business, leveraging global market strategies and advanced risk management techniques [6][7] - The trend shows a richer product structure and more refined strategy designs, particularly in the fields of pension targeting and diversified asset allocation [7] - Leading institutions are accelerating their layouts, with foreign public funds viewing FOFs as a key entry point into the Chinese pension market [7]

Core Insights - FOF products have demonstrated strong performance in the first half of the year, achieving an average return of 3.11% as of June 30, indicating a positive trend in multi-asset strategies [1][2][4] - The popularity of newly launched FOF products continues to rise, with a diverse range of product types and refined strategy designs, reflecting a growing acceptance of multi-asset strategies in the asset management industry [1][4][7] Performance Highlights - Top-performing FOFs in the first half of the year include Bohai Huijin Preferred Progress 6-Month Holding A, ICBC Smart Progress 1-Year A, and ICBC Pension 2050Y, with returns of 15.19%, 14.88%, and 14.59% respectively [2][3] - These successful FOFs predominantly utilize high elasticity and theme-driven asset allocation strategies, focusing on passive index funds while incorporating QDII and commodity assets [3][7] New Product Launches - A total of 31 new FOF products were launched in the first half of the year, with significant initial scales, indicating sustained market interest in multi-asset allocation tools [4][5] - Notable new products include Dongfanghong Yingfeng Stable Allocation 6-Month Holding with an initial scale of 6.573 billion, and other products like Fuguo Yinghe Zhenxuan 3-Month Holding and Nanfang Stable View 3-Month Holding, which also attracted considerable investment [4] Market Trends - The rapid expansion of FOFs in the domestic market reflects investor recognition of professional asset allocation and signifies the accelerated adoption of multi-asset strategies in China [7] - The current market environment, characterized by macroeconomic uncertainty and frequent rotations between equity and fixed income markets, has made the cross-asset, cross-cycle, and cross-style allocation philosophy advocated by FOFs increasingly relevant [7]

Core Viewpoint - The domestic public offering of Fund of Funds (FOF) is experiencing significant growth and diversification, reflecting increasing investor recognition and confidence in these products as A-share indices stabilize and recover [1][4][17]. Group 1: Market Performance - As of the end of Q1 2025, the total scale of domestic FOF funds increased by 13.46% to 1510.8 billion yuan, with 86% of FOF funds achieving positive returns during the quarter [1]. - By June 4, 2025, the scale further grew to 1618.52 billion yuan, with leading performance from funds managed by companies like ICBC Credit Suisse, Qianhai Kaiyuan, and Penghua [4]. - The performance of various FOF products has shown stability and improvement, with a notable focus on equity and mixed-asset funds [5][6]. Group 2: Product Structure and Types - The FOF market is characterized by a diverse product structure, with mixed-asset FOFs dominating in number and asset value, accounting for 93.58% of the total [5]. - Target date FOFs and target risk FOFs are becoming increasingly important for retirement planning, catering to different investor needs [12][13]. Group 3: Investment Strategies and Manager Insights - The investment strategy of ICBC Credit Suisse's FOFs emphasizes a high allocation to equity assets, with a focus on diversification across sectors such as technology, healthcare, and commodities [12][14]. - The recent appointment of Zhou Yan as the fund manager for ICBC's FOF has continued the trend of strong performance, with a year-to-date return of 8.77% reported for the fund [7][12]. - The investment team at ICBC Credit Suisse is committed to providing tailored retirement investment solutions, with several of their products ranking highly in performance [13][18]. Group 4: Industry Trends and Future Outlook - The FOF sector is positioned as a core component of personal pension accounts, driven by policy support and market demand for long-term, secure investment options [17][19]. - The trend towards "platform-based" investment research and specialized strategies is seen as key to the FOF's competitive advantage, allowing for effective asset allocation and risk management [18][19].