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on september 4, dacheng huixing one year, a subsidiary of dacheng fund, issued an announcement stating that the fund had experienced large redemptions on september 3 and had improved the accuracy of the net asset value of the fund shares on the same day; on the same day, bohai huijin asset management also announced that its bohai huijin xingrong one year had experienced large redemptions on september 2.

in recent days, announcements of large redemptions of funds have been released one after another. judging from the operation of these funds, some have been established for less than half a year, such as honeycomb trend select. in addition, judging from the types of funds that have recently experienced large redemptions, they are generally concentrated in bond funds.

some analysts pointed out that the current cost-effectiveness of credit bond allocation has decreased, and there have been obvious adjustments in the market, which has increased the probability of precautionary redemptions by institutions, but the redemption pressure is relatively controllable in the short term.

many funds were redeemed in large amounts, and some institutions held a high proportion of them

on september 4, dacheng huixing one-year fund, a subsidiary of dacheng fund, announced that the fund had experienced large-scale redemptions on september 3, and had improved the accuracy of the net asset value of the fund shares on the same day; on the same day, bohai huijin asset management announced that its bohai huijin xingrong one-year fund had experienced large-scale redemptions on september 2.

in this regard, the reporter of daily economic news checked the latest operation status of the two funds and found that the two funds with large redemptions were not small-scale products on the market or even at risk of liquidation, but rather funds of a certain scale. for example, the scale of dacheng huixing's one-year fixed-term fund reached 3.049 billion yuan in the mid-year report this year.

however, judging from the structure of holders of these funds, institutional holders account for a high proportion, with both funds reaching 100%. in other words, the two funds have a strong institutional customization color. at the same time, both funds are initiated products, so the managers' own funds are also invested. although both funds promise to lock up for three years or no less than three years from the effective date of the contract, they have been released at this stage in terms of the effective date of the contract.

generally speaking, large redemptions of funds means that the net redemption volume on that day exceeds 10% of the fund size. according to the mid-year report, the managers of the two funds hold less than 2% of the current period. therefore, large redemptions by other institutions other than managers are highly likely to occur. and judging from the number of holders disclosed in the mid-year reports of the two funds this year, dacheng huixing has 219 institutional holders in one year, while bohai huijin xingrong has only 2 in one year.

in contrast, the hive trend select fund, which has recently seen large redemptions, is different. the announcement shows that the fund's a, c, and e share products have all seen large redemptions. as of the mid-year report, the fund only disclosed data on a and c shares, with individual investors accounting for more than 99%; class e shares went on sale on august 30 this year, and there are currently no latest statistics. however, based on the total size of the fund counted in the middle of the year, the total number of fund shares is approximately 54.1807 million. it is unknown whether the emergence of e shares can reverse the trend of increasingly miniaturized scale, but with the reappearance of large redemptions, the size of the fund is once again facing a test.

bond funds are frequently subject to large-scale redemptions. are institutions taking precautions in advance?

in addition to the fact that the redemption pressure of funds is still not small, there is another phenomenon worth noting, that is, bond funds frequently experience large-scale redemptions. this phenomenon has not only occurred frequently recently, but in fact, similar situations have occurred since the second half of the year and even throughout the year.

wind statistics show that, taking public funds as an example, the majority of announcements of adjustments to net value accuracy due to large redemptions are from pure bond funds. since january, a total of 18 funds have announced large redemptions, of which only 3 products are equity products.

however, with so much discussion about the hot bond market, why are there so many large redemptions of bond funds? the reason is also related to the hot bond market.

simply put, it is true that a low interest rate environment is good for the bond market, but the actual amount of funds invested in the bond market is increasing, resulting in lower holding returns for latecomers and lower investment cost-effectiveness. the interest income from more and more newly issued bonds can no longer meet the needs of allocation, prompting some funds to arbitrage and leave the market.

compared with the supply rate of risk-free government bonds, the supply of credit bonds is obviously more and faster, but the risk of the latter is also higher than the former. therefore, at a time when the cost-effectiveness has decreased, credit bond assets have become the first targets of many institutional investors to sell off. the decline in bond prices caused by the sell-off will also affect the yields of a number of bond funds, causing redemptions among holders, even large redemptions.

some analysts pointed out that there was little room for profit in the credit market before this round of adjustments, and after taking into account tax gains and losses, the coupon income of some newly issued credit bonds could no longer meet the minimum coupon requirements compared with government bonds. the cost-effectiveness of credit bond allocation was significantly reduced, and adjustments were also needed to open up profit space, which contributed to this round of adjustments.

of course, the occurrence of similar situations does not constitute a continuous negative impact on the bond market, and there have been cases where institutions have previously carried out preventive redemptions for risk defense. the redemption pressure in the short term is unlikely to have a significant negative impact. guosheng securities' latest research report pointed out that the current rate of interest rate increases and the magnitude are not as fast as the previous bond market crashes since 2022, and the redemption risk is relatively limited. whether a large-scale negative feedback is formed depends on whether the liability side of bond market investment institutions can remain stable.

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