Core Insights - Gao Nan, a well-known fund manager under Yongying Fund, has reported significant growth in the management of public funds, with total assets under management exceeding 50 billion RMB, reaching 51.43 billion RMB by the end of Q3 2025 [2][7]. Fund Performance - Gao Nan manages seven funds, including six equity funds and one bond fund, with over half of the total management scale attributed to the Yongying Stable Enhancement bond fund, which saw its scale increase from 7.528 billion RMB to 34.859 billion RMB in Q3 [3][9]. - The Yongying Ruixin fund also experienced substantial inflows, growing from 5.016 billion RMB to 14.417 billion RMB, with a year-to-date net value increase of over 84%, outperforming the market and ranking in the top 5 of its category [3][4]. Investment Strategy - In Q3, Gao Nan made significant adjustments to the portfolio, increasing exposure to the non-ferrous metals sector while reducing holdings in innovative pharmaceuticals, opting to replace A-share positions with Hong Kong-listed stocks [5][20]. - The non-ferrous metals sector has become the second-largest industry in the portfolio, with notable increases in holdings of Zijin Mining and new positions in Huaxi and Zhongfu [17][18]. Fund Composition and Adjustments - The overall portfolio maintained a high position, with the Yongying Ruixin fund's allocation decreasing slightly by 4 percentage points, while other funds increased their positions [11][12]. - The concentration of top holdings in the Yongying Ruixin fund decreased, while the Yongying Growth Voyage and Yongying Huian funds saw an increase in concentration [15][16]. Notable Stock Movements - In the innovative pharmaceutical sector, there was a structural adjustment, with a significant reduction in the allocation to leading stocks while increasing positions in others like Kangfang Bio and Baijie Pharmaceutical [20][21]. - New additions to the portfolio included high-performing stocks such as Industrial Fulian and Zhongji Xinchuan, which have seen substantial price increases this year [28][29]. Overall Fund Performance - Other funds managed by Gao Nan, such as Yongying Growth Voyage, Yongying Huian, and Yongying Ruixin, have also achieved impressive net value growth, with increases of 104.88%, 117.7%, and 112.88% respectively since inception [26][27].

Core Viewpoint - The article emphasizes the resurgence of actively managed funds in the current market environment, highlighting their ability to outperform benchmarks and capture investment opportunities in emerging sectors and structural market conditions [7][8][10]. Fund Performance - The top-performing funds in the author's portfolio include several actively managed funds, with the highest return being from Yongying Ruixin Mixed A, achieving a cumulative return of 56.11% since inception and an annualized return of 32.75%, surpassing the benchmark by over 25% [4][5]. Investment Strategy - The investment strategy focuses on sector rotation, with the fund manager, Gao Nan, leveraging his diverse industry research background to identify sectors poised for explosive growth over the next 3-5 years, such as TMT, consumer, pharmaceuticals, and manufacturing [4][10]. Active vs. Passive Funds - The article discusses the cyclical nature of active and passive funds, noting that while index funds may perform better in early bull markets, actively managed funds can excel in later stages when specific sectors become more pronounced [16][20]. Market Characteristics - The A-share market is characterized by a high proportion of retail investors, leading to significant pricing inefficiencies that can be exploited by quality active fund managers [12][14]. Emerging Sectors - Active fund managers are positioned to capitalize on new and rapidly evolving sectors like AI, high-end manufacturing, and biotechnology, where market recognition and information asymmetry create opportunities for excess returns [14][15]. Structural Market Trends - The article highlights the importance of active fund managers in navigating structural market trends, where different industries and styles experience significant rotation, allowing skilled managers to mitigate drawdowns and generate excess returns [15][20]. Asset Allocation - The author advocates for a diversified asset allocation strategy that includes both active and passive funds, emphasizing the need to balance growth and value investments to capture opportunities across different market conditions [18][19][20].