Core Viewpoint - The report provides an overview of the performance and strategies of the Penghua Fenghe Bond Fund (LOF) for the first half of 2025, highlighting its investment strategies, financial performance, and market conditions affecting the fund's operations [1][7]. Fund Overview - Fund Name: Penghua Fenghe Bond Fund (LOF) - Fund Manager: Penghua Fund Management Co., Ltd. - Fund Custodian: China Merchants Bank Co., Ltd. - Fund Operation Type: Listed Open-Ended Fund (LOF) - Fund Contract Effective Date: November 5, 2015 - Total Fund Shares at Period End: 21,261,729.38 shares [1][2]. Investment Objectives and Strategies - The fund aims to achieve returns exceeding its performance benchmark through strict risk control and active investment strategies [1]. - Asset allocation strategy involves analyzing macroeconomic conditions and adjusting the proportion of major asset classes dynamically [2]. - Bond investment strategies include duration management, yield curve strategies, and selection of undervalued bonds to maximize portfolio returns [2][7]. Financial Performance - For the reporting period from January 1, 2025, to June 30, 2025, the A class share net value growth rate was 1.40%, C class was 1.21%, and E class was 1.31%, all outperforming the benchmark growth rate of 1.05% [8]. - The fund's total profit for the period was 291,991.19 RMB, with realized income of -294,867.05 RMB for A class shares [3][8]. Market Conditions - The bond yield environment was characterized by a flattening trend, with low absolute yields impacting overall returns [7]. - The equity market experienced volatility, with technology stocks initially performing well before a downturn in April [7]. - The fund maintained a concentrated position in financial, consumer, public utility, and low price-to-book ratio cyclical sectors [7]. Management and Compliance - The fund management adhered to legal regulations and internal policies, ensuring fair treatment of different investment portfolios [6][7]. - No abnormal trading behaviors or violations occurred during the reporting period, maintaining compliance with fund management standards [7]. Fund Manager Information - The fund manager, Penghua Fund Management Co., Ltd., has a history of over 20 years in investment management, with a total asset management scale of 1,251.3 billion RMB as of the report date [6][7].