Core Insights - The article highlights a significant increase in the scale of secondary bond funds, with a growth of 374.7 billion units in Q3, representing a 56.9% increase. This trend indicates that many investors are entering the market through "fixed income+" products [1]. Group 1: Fund Growth Characteristics - Traditional large firms and emerging players are both experiencing growth. For instance, E Fund's secondary bond fund size increased from 98.8 billion to 128 billion, a rise of 29.2 billion. Meanwhile, new players like China Europe Fund and Yongying Fund also saw their secondary bond fund sizes grow by approximately 29 billion each in Q3 [2]. - There is a parallel growth in low-volatility and high-volatility "fixed income+" products. E Fund had three funds with growth exceeding 5 billion, including E Fund Stable Income and E Fund Yu Xiang Return, which saw increases of 9.9 billion and 5.9 billion respectively [3]. Group 2: Investment Strategy Insights - The article emphasizes the importance of selecting large firms for investment in secondary bond funds due to their superior risk control and professional talent pool. E Fund, for example, has a well-established team of experienced fund managers and has been a pioneer in multi-asset teams [4]. - A notable portion of the increased fund size is attributed to institutional investments, with over 90% of E Fund Yu Xin being held by institutions as of the second quarter [5]. Group 3: Investment Philosophy of Fund Managers - The investment philosophy of fund manager Hu Wenbo is characterized by two main principles: belief in mean reversion and the construction of a "anti-fragile" portfolio. This approach allows for potential gains to outweigh losses in volatile market conditions [6][13]. - Hu Wenbo's strategy includes increasing the allocation to convertible bonds, which rose from 8.4% to 14.82% in Q1 2024, and maintaining a high allocation of over 40% in subsequent quarters, contributing to the fund's strong performance [10][15]. Group 4: Performance Metrics - Under Hu Wenbo's guidance, E Fund Yu Xin achieved a return of 20.52% over the past year, ranking in the top 4% of its category, and a return of 17.44% year-to-date, also placing it in the top 4% [17].