With the release of the quarterly report, FOF's position was announced.

Liu Xu and Bao are helpless.

Professional institutions prefer the funds managed by these managers.

Guojin Securities (600109) reported that in the first quarter of 2024, the active equity fund with the highest proportion of positions and the largest number of heavy positions in FOF funds was "Dacheng High-tech Industry". In this quarter, the market value of fund positions accounted for 3.90% of all heavy fund market capitals. among the FOF participating in the statistics, there were 52 heavy positions in the fund, an increase of 28 over the previous quarter.

Chart 1:FOF accounts for the top 20 active equity funds, data sources213blackjackWind, National Finance and Securities Research Institute, as of 2024-3-31

Chart 2:FOF holds the top 20 active equity funds, data source: Wind, Institute of International Finance and Securities, as of 2024-3-31

According to WIND data, Dacheng High and New Technology was founded in February 2015, and its fund manager is Liu Xu, with the latest scale reaching 6.932 billion yuan. In terms of performance, Dacheng's high-tech industry performed well in the first quarter of this year. Taking A share as an example, its net worth grew by 10.33%.213blackjack!

How to identify the high-tech industry? Liu Xu pointed out in the first quarterly report that the fund classifies computers, electronics, media, communications, machinery and equipment, electrical equipment, national defense, automobile and chemical industries in the 28 Shenyin Wanguo first-tier industries as high-tech industries. This fund defines listed companies engaged in high-tech industries in Shanghai and Shenzhen stock markets as listed companies in high-tech industries, specifically including the following two types of companies: (1) companies whose main business belongs to the high-tech industry; (2) the products or services provided by the current non-main business belong to the high-tech industry, and these products or services are expected to become the main source of profits in the future.

Bao's unmanaged products are also favored by fund institutions.

WIND data show that "Jingshun Great Wall value margin" has become the third active equity fund in the first quarter of 2024. It is also the second largest number of funds and the fourth most important fund product in the FOF heavy position fund.

Chart 3:FOF Top 10 active equity funds with up / down positions, data source: Wind, Institute of International Finance and Securities, as of 2024-3-31

Bao Wuke is a typical value player with a stable position style and attaches great importance to the safety margin of the combination. In the first quarter of this year, against the backdrop of the shrinking management scale of most fund managers, Bao Wuke's management scale rose against the trend, breaking the 20 billion mark.

Throughout the performance of Bao in recent years, Zhongcang Energy stocks are an important reason for its performance growth. In the quarterly report, Bao Wuke pointed out that the energy-related resources sector accounts for a large proportion of our investment portfolio, and we continue to be optimistic about this area. Although China's economy is currently under some pressure, the economic performance of other parts of the world is stable, and the demand for resource goods, especially energy, continues to grow. On the supply side, the growth rate of global energy resource products is relatively low due to the influence of environmental, social and governance (ESG) and other factors. Even in the context of high product prices, capital investment in crude oil, coal and other industries is still low. In view of this supply and demand pattern, we expect that the contradiction between supply and demand of resource goods may further aggravate. As a result, the market may significantly increase forward price expectations for these products.

In addition, there are funds that prefer products managed by the new generation of fund managers. WIND data show that among the active equity funds managed by fund managers with less than three years of service, Bao Zhengyu's "Yi Fang Da value Select" held a large position in FOF in the first quarter.

The market capitalization accounts for the highest proportion of the total size of the FOF heavy position fund; among the top new generation fund managers are Jin Meng of Tianhong Fund, Xu Zhixiang of Wells Fargo Fund, Ren Jing of Southern Fund, and so on. From the perspective of first-quarter returns, Xu Tuo's "Forever win dividend selection", Liu Jie's "Castrol Resources selection" and Zhou Desheng's "Guorongsheng leading strict selection" have relatively excellent quarterly returns, with first-quarter returns of 17.58%, 16.87% and 14.55%, respectively.

Produce and sell yourself?

Three own equity funds hold more than 1 billion

WIND data show that in the first quarter of this year, fund managers such as Yi Fonda Fund, China Europe Fund, Guangfa Fund, Huitianfu Fund, BoCom Schroeder Fund and Wells Fargo Fund all owned their own equity funds.

Guoyuan Securities (000728) pointed out that in terms of holding its own fund, Yi Fangda FOF held 3.617 billion yuan in its own equity fund, accounting for 90.82% of all heavy equity funds, almost a handful of "Suha" own fund company products.

Chart 4: Yi Fangda FOF holds his own active equity fund, data source: Wind, National Gold Securities Research Institute, as of 2024-3-31

Among them, the fund with the highest market value is "Yi Fang Da Ruiheng", and the fund manager is Xiao Nan / Wang Yuanchun, with a market capitalization of 584 million yuan. This was followed by "Yi Fang Da supply Reform" (535 million yuan) and "Yi Fang Da value selection (110009)" (517 million yuan).

In addition, the size of CEIBS funds ranks second, and CEIBS FOF holds 1.167 billion yuan of its own equity funds, accounting for 86.79% of all heavy equity funds. Among them, the fund with the highest market value held by CEIBS FOF is the "new normal of CEIBS Mingrui" managed by Liu Weiwei, with a market capitalization of 273 million yuan. This was followed by "CEIBS Fenghong, Shanghai, Hong Kong and Shenzhen" (243 million yuan) and "wise return on CEIBS value" (205 million yuan).

Chart 5: CEIBS FOF holds its own active equity fund, data source: Wind, Institute of International Finance and Securities, as of 2024-3-31

Guangfa FOF heavy position holds its own equity fund of 1.05 billion yuan, accounting for 59.53% of all heavy equity funds. Among them, Guangfa FOF holds the fund with the highest market value of "Guangfa Multi-Factor", with a market capitalization of 198 million yuan, followed by "Guangfa domestic demand growth" (151 million yuan) and "Guangfa Xinxiang" (112 million yuan).

Chart 6: Guangdong Development Fund FOF holds its own active equity fund, data source: Wind, Institute of International Capital Securities, as of 2024-3-31

In terms of performance, the performance of FOF's own products varies from profit to loss. For example, the two Glenn-managed products held by CEIBS FOF-CEIBS Medical Innovation and CEIBS Healthcare-performed poorly, with first-quarter returns of-18.06% and-14.94%, respectively; the CEIBS quality companies managed by Dai Yunfeng lost 10.91% in the first quarter!

As for buying FOF with performance losses, industry insiders often question that this is using FOF to channel their own funds to achieve the purpose of self-production and sales.

A FOF with a heavy position in one's own funds is called an internal FOF, which is a regular allocation strategy for FOF. In fact, most fund companies 'FOF products are on the survival line and need to rely on the fund company's brand to expand markets and increase popularity. For basic people, FOF products prefer to purchase their own products, which can avoid double charges.