Core Viewpoint - A public fund, Huachen Future Fund, is facing significant challenges, including managing only one fund, experiencing a substantial loss of 6.6% in 2025, and needing to change its fund manager, raising concerns about the preservation of its public fund license [1][14]. Group 1: Fund Management and Performance - Huachen Future Fund currently manages only one bond fund with a total scale of 0.43 billion, which has drastically decreased from 12.7 billion in 2023 to 6.43 billion in 2024, and now stands at less than 1 billion [2][16]. - The fund has reported a cumulative loss of 18% over the past three years and 14% over the past five years, leading to a significant decline in investor confidence [4][18]. - The number of individual investors in the fund has decreased from 25,000 in 2023 to 11,000 in 2025, indicating a loss of trust among retail investors [4][18]. Group 2: Asset Allocation and Investment Strategy - In 2024, the fund's asset allocation consisted of 60% government and financial bonds, with only 15% in corporate bonds and short-term financing notes. However, by mid-2025, the proportion of medium-term notes and corporate short-term financing notes surged to 50%, reaching 64% in the third quarter [19][23]. - The fund's strategy included a significant shift to government bonds in the fourth quarter of 2025, following substantial losses in corporate bonds, particularly in the real estate sector [8][23]. Group 3: Financial Indicators and Legal Issues - The fund reported a loss of approximately 2 billion in 2024 and an additional loss of over 2 billion in 2025, with a quarterly loss of nearly 1.2 billion [11][26]. - The fund is also facing legal challenges, being listed as a defendant in judicial disputes with an execution amount of 2.7 million [27][28]. - There are indications that Huachen Future Fund may lose its public fund license due to its poor management and performance, with the possibility of its assets being taken over by other institutions [11][12].