Core Viewpoint - E Fund announced a reduction in management and custody fees for its pure bond fund, effective November 11, as part of a broader industry trend to lower costs for investors following the public fund fee reform initiated in July 2023 [1] Group 1: Fee Adjustments - The management fee for the pure bond fund will decrease from 0.35% per year to 0.30% per year, while the custody fee will drop from 0.10% per year to 0.05% per year [1] - Earlier this year, E Fund also reduced fees for two of its bond funds, with management and custody fees for E Fund Investment Grade Credit Bond being lowered to 0.30% and 0.05% respectively, and for E Fund China Bond New Comprehensive Bond Index being reduced to 0.15% and 0.05% respectively [1] Group 2: Industry Trends - Since the launch of the public fund fee reform in July 2023, industry players have actively reduced fees to benefit investors, with E Fund lowering fees for over a hundred public funds across various categories including active equity, index, fixed income, multi-asset, and money market products [1] - E Fund is committed to maintaining low fee rates to reduce investors' financial management costs and better meet their investment needs [1]

Core Viewpoint - The public fund industry is experiencing a wave of fee reductions, which is seen as a necessary step to enhance investor experience and shift the focus from scale to performance-driven management [1][4][5]. Group 1: Fee Reduction Actions - Since July 2023, several leading fund companies, including E Fund and ICBC Credit Suisse, have announced reductions in management and custody fees across various fund categories, including bond, mixed, and money market funds [2][3]. - E Fund reduced the custody fee for two bond funds from 0.1% to 0.05%, while also lowering management fees for these funds earlier in May [2]. - ICBC Credit Suisse adjusted the management fee for its mixed fund from 1.2% to 0.8%, and other companies like Guotai Asset Management and Dongwu Asset Management have also made similar fee adjustments [2][3]. Group 2: Impact of Fee Reform - Over the past two years, approximately 4,295 fund products have implemented fee reductions, accounting for over 40% of existing products, with a total fee reduction of 24.467 billion yuan, representing an 11.33% decrease [1][3][5]. - The total fees collected by the public fund industry reached 191.537 billion yuan last year, while the total scale of products was 32.76 trillion yuan, indicating a significant reduction in fees despite a 26.45% increase in total scale compared to the previous year [5]. - The industry is transitioning from a scale-oriented approach to one focused on investor returns, which is expected to enhance the quality of services and investment performance [6][7]. Group 3: Future Directions and Innovations - The industry is exploring new fee structures, such as performance-based floating management fees, which are linked to fund performance, as part of the "Action Plan for Promoting High-Quality Development of Public Funds" [7]. - A total of 26 new floating fee funds have been successfully raised, with 24 products collecting 22.68 billion yuan, indicating a growing acceptance of this model [7]. - Fund companies are also adjusting their performance evaluation mechanisms to focus on long-term investor experience and returns, moving away from short-term scale-driven incentives [7].