Core Viewpoint - The A-share market has shown unexpected enthusiasm since the beginning of the year, with many active equity funds recovering and achieving significant returns, while the newly established fund, Dachen Xingyuan Qihang, managed by Xu Yan, has remained inactive, leading to widespread controversy and questioning of its strategy [1][2][4]. Fund Performance - Dachen Xingyuan Qihang was established on March 11, 2025, but its net value has barely changed, with A-class shares at 0.9983 and C-class shares at 0.9953 as of September 9, 2025 [2][4]. - The fund has only invested in two stocks, Antu Biology and Meituan, with a stock position of just 0.73% and cash making up 84.95% of its net value [4]. Market Reaction - Since May, market skepticism has grown regarding the fund's "zero allocation" strategy, with investors expressing frustration over missed opportunities in a rising market [4][6]. - Xu Yan acknowledged the lack of systematic investment in the mid-year report, citing significant changes in market conditions and the need for caution due to rational valuation returns [4][5]. Comparison with Peers - In contrast to Dachen Xingyuan Qihang, many newly established active equity funds have quickly completed their allocations and participated in the market rally, with some achieving net value growth exceeding 20% [5][6]. - Funds like Anxin Balanced Growth, established on the same day as Dachen Xingyuan Qihang, have seen net value increases of 20.12% this year, highlighting the stark difference in performance [6]. Industry Trends - The performance of newly established funds this year has shown a clear dichotomy, with some achieving over 50% net value growth while others have recorded losses [7][9]. - The current market environment raises questions about the viability of value investing strategies that prioritize slow and steady approaches, especially in a rapidly changing market [9].

Core Viewpoint - The article discusses the importance of position control in mutual funds, highlighting how certain fund managers successfully navigate market fluctuations through strategic adjustments in their equity allocations. Group 1: Fund Performance and Strategy - The Yimin Service Leading Fund demonstrated excellent management by adjusting its stock position from 0.89% at the end of last year to over 90% by the end of the second quarter, indicating a strong response to market conditions [1] - The fund manager noted a significant increase in equity assets after the market correction on April 7, with a focus on small and mid-cap growth stocks, while maintaining a balanced portfolio without heavy bias towards any single sector [2] - The Yongyin Ruiheng Fund, established in December last year, increased its stock position from approximately 18% to about 70% by the end of the second quarter, achieving a gain of over 14% during this period [2] Group 2: Position Control Mechanisms - The Agricultural Bank of China Huiri Interval Return Mixed Fund incorporates position control into its fund contract, adjusting stock allocations based on the Shanghai Composite Index thresholds to lock in profits and manage risks [3] - The fund's strategy allows for a stock allocation of over 95% when the index is below 2750 points, and a gradual reduction in stock positions as the index rises, demonstrating a disciplined approach to asset allocation [3] Group 3: Insights from Industry Professionals - Industry experts emphasize that effective position control is an art of dynamic balance, aligning with the fund's strategy, market judgment, and risk tolerance to achieve sustainable returns without significant losses [4] - Fund managers are advised to manage market volatility through position control and stock adjustments within the constraints of their fund contracts, which can limit their ability to shift strategies in response to market changes [5]