Debt-Biased Mixed FOF Assets Top RMB 250 Billion, Over 70% of Market; Top Products Return Over 20%
Debt-biased mixed FOFs have surpassed RMB 250 billion in assets, reaching RMB 251.4 billion, up over RMB 100 billion from end-2025 and representing more than 70% of the FOF market. These 'fixed income plus' products, with equity exposure capped at 40%, delivered a 4.4% gain in the Wind index over the past year, with annualized volatility of 3.38% versus 17.51% for stock funds. Top products returned over 20%, including Qianhai Kaiyuan Yuyuan at 21.24% and Yifangda Huikang at nearly 15%.
The scale of debt-biased mixed FOFs has exceeded RMB 250 billion, reaching RMB 251.4 billion, an increase of more than RMB 100 billion compared with the end of 2025, and now accounts for over 70% of the total FOF market. These products use bond funds as the base, with moderate allocation to equities and other diversified assets. Equity assets typically account for no more than 40%, representing a typical "fixed income plus" strategy aimed at achieving enhanced returns through moderate participation in multiple markets.
Over the past year, the Wind debt-biased mixed FOF index rose 4.4%, while the pure bond fund index rose 1.94% over the same period. The annualized volatility was 3.38%, far below the 17.51% of the stock fund index. The Sharpe ratio of debt-biased mixed FOFs has a median above 1.2, with the highest return exceeding 20%, demonstrating an advantage in risk-adjusted returns.
Among specific products, Qianhai Kaiyuan Yuyuan returned 21.24% over the past year. Its second-quarter report shows a diversified portfolio of heavy holdings, covering emerging industry, dividend low-volatility, and gold ETFs. Yifangda Huikang Wenjian Yanglao Mubiao Yinian Chiyou A/Y returned nearly 15% over the past year, with similarly diversified holdings. Huitianfu Tianfu Zengzhang Wenjian Yanglao Mubiao Yinian Chiyouqi A/Y, on the basis of heavy bond fund holdings, incorporates REITs and other asset allocations.