Core Viewpoint - The recent comments from Cai Zhen, a fund manager at China Merchants Fund, about misalignment between personal needs and company direction have raised concerns within the industry regarding the internal management and operational challenges faced by the firm [1][4]. Group 1: Company Performance - China Merchants Fund has seen a decline in its non-monetary fund scale ranking, dropping out of the top ten in the industry as of the end of Q3, with a non-monetary scale of 563.56 billion yuan, despite a quarterly growth of 31.55 billion yuan [7][8]. - The firm is experiencing significant competition, with rivals like Huatai-PB and Jingshun Longcheng Fund showing much stronger growth rates, leading to a challenging environment for China Merchants Fund [9][10]. Group 2: Fund Manager Dynamics - Cai Zhen manages 20 funds with a total scale of 13.6 billion yuan, and while some of his products have performed well, others have underperformed, particularly those he took over in 2024 [5][6]. - The company has faced a wave of departures among fund managers, including notable figures, which has raised concerns about talent retention and the stability of fund management [10][12]. Group 3: Internal Management Issues - There are indications of internal pressure within China Merchants Fund, as fund managers are reportedly overloaded with tasks, leading to a mismatch between their personal needs and company expectations [1][10]. - The firm has implemented a dual-track mechanism for talent development, combining internal training with external recruitment, in response to the challenges it faces [12].

Core Viewpoint - The performance of products under China Merchants Fund has shown significant differentiation this year, with some veteran fund managers underperforming, leading to a decline in the company's non-monetary asset management ranking to 11th place in the industry [1][6]. Company Performance - As of November 16, 2023, China Merchants Fund's average return rate is 15.36%, ranking 82nd among peers [6]. - The company has seen a decrease in its non-monetary asset management scale, which is now close to 570 billion yuan, marking a slight decline compared to the end of last year [7]. - The fund's management scale reached nearly 950 billion yuan by the end of the third quarter, ranking 12th in the industry [7]. Fund Manager Insights - Fund manager Cai Zhen expressed a mismatch between personal needs and company demands, indicating plans to reduce the number of products managed and focus on those he truly believes in [4]. - Cai Zhen has managed products that significantly outperformed their peers, with returns of 23.44% and 28.5% for his longest-managed funds, compared to an average of 13.17% for similar products [5]. - Other veteran fund managers, such as Li Jiasun and Guo Rui, have also shown underperformance, with some products yielding negative returns and lagging behind industry averages [6][7].