news

한어Русский языкEnglishFrançaisIndonesianSanskrit日本語DeutschPortuguêsΕλληνικάespañolItalianoSuomalainenLatina

Our reporter Qiu Li and Chen Feng from Beijing reported

Recently, Xingyin Fund Management Co., Ltd. (hereinafter referred to as "Xingyin Fund") disclosed an announcement on the change of senior management. The announcement shows that Zhao Jianxing, general manager and chief information officer, has left due to work transfer, and Wu Ruoman, chairman of the board, will serve as the general manager.

In just over a year, the chairman, general manager and other "top leaders" of Xingyin Fund have been replaced one after another. As of the end of the second quarter of this year, the scale of the company's equity funds was only 2.53 billion yuan, accounting for less than 2%. Whether the change in the senior management can change the current situation of Xingyin Fund's "biased" status and reverse the decline in net profit has become the focus of market attention.

Net profit fell by about 35% last year

Regarding the departure of public fund general managers, Zhi Peiyuan, a corporate mentor for master's students at the School of Management of China University of Mining and Technology (Beijing), told the China Times reporter that the reasons for the departure of public fund general managers are usually more complicated and may involve many factors such as personal career planning, company strategy adjustments, performance and operating pressure, and shareholder changes.

Jiang Han, a senior researcher at Pangu Think Tank, told our reporter that failure to meet company performance targets or achieve expected goals is also a common reason for general managers to leave, especially in the context of intensified market competition. In addition, changes in corporate governance structure, disagreements between shareholders, or adjustments in corporate strategy may also lead to changes in the position of general manager.

Public information shows that Xingyin Fund was established in October 2013, jointly funded by Huafu Securities and Guomai Technology, with shareholding ratios of 76% and 24% respectively. The office is located in Lujiazui, Pudong New Area, Shanghai.

As a "broker-affiliated" public fund with a market value of hundreds of billions, Xingyin Fund's equity business is not dominant. Wind data shows that by the end of the second quarter of this year, Xingyin Fund had 53 public fund products with a total net asset value of 128.476 billion yuan, ranking 53rd in the market, but its ranking was mainly supported by fixed-income products, with stock and mixed funds totaling less than 3 billion yuan.

The lack of equity business directly affected the income of Xingyin Fund. According to the 2023 annual report of Guomai Technology, Xingyin Fund achieved operating income of 305 million yuan for the whole year, a year-on-year decrease of about 4%; and achieved a net profit of 61.028 million yuan, a sharp year-on-year decrease of 34.99%.

Relying on fixed income products to support the sky

Wind data shows that as of the end of the second quarter of 2024, the management scale of Xingyin Fund was 128.476 billion yuan, of which bond funds had the largest scale, reaching 68.675 billion yuan, accounting for more than 50%; while the total scale of equity funds such as stock and mixed funds was only 2.530 billion yuan, accounting for less than 2%.

Specifically, Xingyin Fund has 6 stock funds (AC shares are calculated together), most of which are passive products. As of July 25, the returns of the 6 funds have all been "negative" since their establishment. Among them, Xingyin Guosheng New Energy Vehicle Battery ETF, Xingyin CSI Science and Technology Innovation and Entrepreneurship 50A, and Xingyin CSI 1000 Index Enhanced A have achieved returns of -57.77%, -48.73% and -31.51% respectively since their establishment.

Looking at hybrid products, Xingyin Fund has 17 of them, and the fund size below 100 million yuan accounts for about three-quarters, and many of them have become "mini funds" with a size of less than 50 million yuan, including Xingyin Pioneer Growth, Xingyin Competitive Advantage, Xingyin New Consumption Trend, Xingyin Stable 180-Day Holding, etc.

Judging from the fund size and performance, Xingyin Fund has a "biased" phenomenon, and equity products are one of its shortcomings. Regarding how to make up for the shortcomings, improve the scale and strength of equity products, and achieve balanced development of the company, the reporter of "Huaxia Times" contacted Xingyin Fund on July 25 and sent an interview letter. The staff said that they had received the email and arranged for the relevant departments to handle it. As of press time, the reporter has not received a specific response.

Zhi Peiyuan pointed out that if fund companies cannot effectively solve the problem of "biased disciplines", their performance and scale growth may be limited. In view of the shortcomings in equity, fund companies should actively take a series of measures to make up for it, including strengthening the construction of investment research teams, optimizing product line layout, increasing marketing efforts and strengthening risk management.

The company's top leader has undergone a major change

It is worth mentioning that Wu Ruoman, who is temporarily acting as the general manager of Xingyin Fund, took over the position of chairman in May last year, while the former chairman Zhang Guiyun left due to job transfer. This means that in the past year, the "top leaders" such as the chairman and general manager of Xingyin Fund have been changed one after another.

In the view of industry insiders, the chairman and general manager are the "soul figures" of a public fund, and changes in their positions will often have an impact on the company's development strategy, investment research culture, etc.

Jiang Han pointed out that changes in public fund general managers will directly affect the stability and continuity of the company's management, which may in turn cause short-term fluctuations in the company's resource allocation, personal connections, market reputation, etc. The new general manager needs time to familiarize himself with the company's operating conditions, team culture and market environment.

"Fund companies need to strengthen their research and investment in the equity market, and continuously improve the comprehensive quality and combat effectiveness of the investment research team by introducing outstanding talents, strengthening internal training and external cooperation." Jiang Han pointed out that fund companies need to optimize product structure and increase the development of equity products. In product design, we should focus on innovation and differentiation. Furthermore, fund companies need to strengthen cooperation and communication with sales channels, broaden sales channels and improve sales capabilities. Through in-depth cooperation with banks, securities companies, third-party sales platforms and other institutions, we can expand the sales coverage and influence of products.

"Fund companies need to improve the scale and strength of equity products from many aspects." Yuan Shuai, the founder of the New Wisdom New Productivity Living Room, told the China Times reporter that first, it is necessary to strengthen the construction of the investment research team, attract and cultivate fund managers with profound research skills and good investment performance, and improve overall investment capabilities. Secondly, optimize the product structure, reasonably layout the equity product line according to market demand and company positioning, enrich product types, and meet the needs of different investors. At the same time, strengthen marketing and brand building to improve the market awareness and reputation of the company and its equity products.

Editor-in-charge: Shuai Kecong Editor-in-chief: Xia Shencha