Market Performance - The A-share market has shown strong performance recently, with the Shanghai Composite Index returning to a relative high of 3600 points [1][2] - As of May 27, the Shanghai Composite Index, Shenzhen Component Index, and ChiNext Index closed at 3608.85, 14897.19, and 3226.11 points, with daily increases of 0.43%, 0.7%, and 0.92% respectively [2] Fund Performance - Equity fund returns have significantly rebounded, with some star fund managers seeing their products' year-to-date returns turn positive and continue to rise [1][2] - Notable fund performances include E Fund's Blue Chip Select Mixed Fund with a year-to-date return of 8.43%, Invesco Great Wall Dingyi Mixed Fund at 8.48%, and China Europe Medical Health Mixed A Fund at 16.68% [2] Investor Sentiment - Many investors have expressed relief at recovering their investments, with some stating they have "broken even" after previous losses [4] - However, a portion of investors remains in a loss position, particularly those who entered the market during high net asset values before the recent downturn [4] Market Recovery Factors - The recent market recovery is attributed to a temporary easing of liquidity and a reduction in commodity price pressures [3] - As of May 26, the number of equity funds with negative year-to-date returns decreased to 1170, representing less than 20% of the total, indicating a significant recovery in fund performance [3] Future Outlook - Industry experts maintain an optimistic outlook for the market, suggesting that high-quality blue-chip stocks will continue to attract investment [5] - There is a consensus that while market sentiment may fluctuate, structural opportunities for growth remain, particularly as systemic risks have decreased [5]

Group 1 - The core observation from the 2024 fund annual report indicates that over half of fund managers do not hold shares in their own funds, with only 7% holding over one million shares, highlighting a significant disparity in self-purchase behavior across fund types and companies [1][2] - Mixed funds are the primary drivers of self-purchase activity, boasting a self-purchase rate of 57.03%, which is significantly higher than that of equity and bond funds [1][2] - Alternative investment funds lead with a self-purchase rate of 60.87%, while convertible bond funds also show a strong self-purchase rate of 56.82%, indicating a deep commitment from fund managers to niche products [2] Group 2 - Among fund companies, Southern Fund ranks first with a self-purchase rate of 51.72%, followed by E Fund at 48.05%, which has the highest number of funds with over one million self-purchases [2] - In contrast, Huaxia Fund shows a stark difference with only 18.06% self-purchase rate and just 24 out of 454 funds achieving over one million self-purchases, indicating a lack of confidence compared to industry leaders [2] - Notable fund managers such as Zhang Kun, Xie Zhiyu, Zhao Yi, and Liu Xu hold over one million shares in their own funds, reflecting a strong alignment with their fund performance [2][4] Group 3 - Zhang Kun, managing over 60.8 billion yuan, demonstrates commitment to value investing despite his funds' returns being below the industry average, with both his funds achieving over one million self-purchases [4] - Xie Zhiyu showcases confidence through self-purchases in two funds that have performed well, with returns of 31.07% and 17.39% respectively, further emphasizing the trend of self-purchase among top managers [4] - The "three-year lock-up" strategy is exemplified by fund managers Zhao Feng and Zhao Yi, who have linked their self-purchases to long-term investment principles, achieving returns of 20.02% and 19.40% respectively [5] Group 4 - The phenomenon of over 54% of fund managers opting for zero self-purchases contrasts sharply with the trend among top managers who hold over one million shares, indicating a shift towards a "risk-sharing contract" model [5] - Large self-purchases create a mechanism that binds the interests of fund managers and investors, effectively establishing a trust signal in a market characterized by diminishing returns [5]

Core Insights - The article discusses the performance of various funds in the first quarter of 2025, highlighting significant profits and losses among them [1][2][3] Fund Performance Summary - E Fund Blue Chip Selection Mixed Fund (005827.OF) achieved the highest quarterly profit of 3.172 billion, making it the only equity fund to surpass the 3 billion mark [1][2] - The second tier of profitable funds includes Wanji Industry Selection (18.81 million), China Merchants Advantage Enterprises A (16.05 million), and others, indicating a clear performance hierarchy [1][2] - The article notes that the medical sector showed a strong recovery, with China Europe Medical Innovation A reversing a previous loss of 1.718 billion to achieve a quarterly return of 20.33% [2][6] Losses and Challenges - The top loss was recorded by Xingquan Trend Investment (163402.OF) with a quarterly loss of 935 million, reflecting a year-to-date return of -9.64% [3][4] - Other notable losses include Caizhong Value Momentum A (-648 million) and Caizhong Growth Selection A (-521 million), both managed by the same individual, indicating significant challenges in the TMT sector [6][7] - The article emphasizes the risks associated with large funds that may struggle to convert scale into effective returns, as seen with E Fund Blue Chip Selection [6][7] Market Dynamics - The article highlights the contrasting performance of funds, suggesting that investors should be cautious of both oversized funds that may underperform and smaller funds that may show high returns without substantial profit realization [7][8] - The ongoing market differentiation in the second quarter is expected to continue influencing fund performance, with a focus on those that can maintain scale flexibility while efficiently converting profits [7][8]

Core Viewpoint - The article discusses the recent management changes at E Fund, highlighting the trend of star fund managers stepping down from executive roles to focus on investment management, with Zhang Kun being a prominent example [1][2][3]. Group 1: Management Changes - On May 16, E Fund announced that Zhang Kun would no longer serve as Deputy General Manager and would concentrate on investment management, continuing his role as a fund manager [1]. - This follows a previous adjustment in the management team where other star fund managers, Chen Hao and Xiao Nan, also stepped down from executive positions to focus on investment [2][3]. - The trend indicates a shift in the industry where many fund managers are opting to relinquish management duties to dedicate more time to fund management [4]. Group 2: Zhang Kun's Investment Philosophy - Zhang Kun has been with E Fund since graduating from Tsinghua University in 2008, focusing on deep research and value discovery to achieve long-term stable excess returns [7]. - His investment style emphasizes high-quality value, prioritizing companies with strong competitive advantages and sustainable growth, while maintaining a focus on safety margins [7][8]. - Zhang Kun's commitment to long-term investments is evident in his portfolio, where he has consistently held stocks with strong fundamentals over multiple quarters [8]. Group 3: Performance Metrics - As of March 31, 2025, Zhang Kun managed a total fund size of 608 billion yuan, making him the largest active equity fund manager in China [1]. - His cumulative return since becoming a fund manager in September 2012 is 298.80%, with an annualized return of 11.69%, significantly outperforming the CSI 300 Index during the same period [9]. - Specific funds managed by Zhang Kun, such as E Fund Quality Selection Mixed and E Fund Asian Selection Stock, have shown cumulative returns of 425.50% and 374.40%, respectively, since his tenure, far exceeding their respective benchmarks [9].

Core Viewpoint - Zhang Kun, a prominent fund manager at E Fund, has stepped down from his position as Deputy General Manager to focus on investment management, continuing his role as a fund manager to create long-term sustainable returns for investors [1][2]. Group 1: Zhang Kun's Background and Investment Philosophy - Zhang Kun has been with E Fund since graduating from Tsinghua University in 2008, accumulating nearly 17 years of experience in investment research [1]. - His investment style emphasizes high-quality value, focusing on companies with strong competitive advantages, business models, and the ability to generate free cash flow [1]. - He aims to invest in companies with a strong margin of safety and growth certainty, holding them for the long term to share in their performance growth [1]. Group 2: Recent Performance and Achievements - Since becoming a fund manager in September 2012, Zhang Kun has achieved a cumulative return of 298.80% and an annualized return of 11.69% as of March 31, 2025, significantly outperforming the CSI 300 Index during the same period [2]. - The three funds managed by Zhang Kun for over five years have all outperformed their respective benchmarks, with cumulative returns of 425.50%, 37.40%, and 89.26% for E Fund Quality Selection Mixed, E Fund Asia Selection Stock, and E Fund Blue Chip Selection Mixed, respectively [2]. Group 3: Management Changes at E Fund - In March, E Fund announced the departure of other senior management personnel, Chen Hao and Xiao Nan, who will also focus on investment management [2]. - Currently, E Fund still has several fund managers holding the position of Deputy General Manager, including Feng Bo, Zhang Qinghua, and Hu Jian [3].