Since late March, as the impact of geopolitical conflicts has gradually subsided and first-quarter earnings results from listed technology companies have provided stronger fundamental support, the technology and growth rally in the A-share market has continued to gain momentum. Against this backdrop, fund managers with strong professional investment research capabilities and the ability to identify structural opportunities are translating their asset management expertise into solid investment returns and a positive investment experience for fund holders.

According to Wind data, as of May 25, a total of 148 funds managed by GF Fund Management—counting only the primary share class where multiple share classes exist—recorded an adjusted NAV per unit increase of more than 30% over the past year. Among them, 89 products returned more than 50%, 44 returned more than 80%, while 25 funds more than doubled in value and two funds delivered returns exceeding 200%, demonstrating the Company’s comprehensive investment capabilities amid a complex market environment.

Active Equity Funds Lead the Market: 11 Products More Than Doubled over the Past Year

Over the past year, the A-share market has been characterized by a clear dominance of technology and growth stocks. According to Wind data, as of May 25, the Wind Equity-Oriented Hybrid Fund Index had risen by 46.85% over the previous year, compared with a return of 26.77% for the CSI 300 Index over the same period. This demonstrated the ability of actively managed funds to generate meaningful excess returns.

GF Fund Management has cultivated deep expertise in active equity investing over many years. During the current structural rally, a number of the Company’s products delivered outstanding performance through in-depth understanding of industry trends and well-targeted portfolio positioning.

According to Wind data, as of May 25, 51 of GF Fund Management’s actively managed equity products had generated returns of more than 50% over the past year. Among them, 11 delivered returns exceeding 100%, while both of the Company’s funds that generated returns of more than 200% also came from its active equity franchise, making active equity a key contributor to the Company’s leading investment performance.

The Company’s top-performing active equity products span not only thematic funds focused on advanced manufacturing, carbon neutrality, new energy and healthcare—areas closely aligned with the major themes driving the current market rally—but also a number of all-market stock selection funds and quantitative strategy products, enabling the Company to capture a broad range of investment opportunities.

According to Wind data, compared with their respective performance benchmarks, GF Fund Management’s actively managed equity funds generated an average excess return of 22.94% over the past year, with nearly 60% of the products delivering excess returns of more than 10%.

Industry observers noted that in recent years GF Fund Management has focused on developing a professional, platform-based and multi-strategy investment research system. Within a unified investment platform, specialized investment professionals are able to leverage their individual strengths while collaborating and developing together, improving both the depth and efficiency of research.

At the same time, individual strategy teams have continuously enhanced their investment capabilities through upgrades to investment research frameworks, expansion of their investment capability boundaries and innovation in portfolio management models. Together, these initiatives provide a solid professional foundation for improving investors’ long-term investment experience.

Broad-Based Strength across Index Products: 30 Funds Returned More Than 60% over the Past Year

In index investing, GF Fund Management leverages the platform advantages and value discovery capabilities accumulated through its active management business. Based on an in-depth understanding of industry trends and client needs, the Company has established a diversified and multi-dimensional index product offering.

During the current market rally, a wide range of index products—including broad-based indices, sector and thematic indices, smart beta strategies, QDII products and enhanced index funds—have performed strongly, allowing investors to capture opportunities across different segments of the market.

According to Wind data, as of May 25, 30 of the Company’s index products had generated returns of more than 60% over the previous year, including 14 products with returns above 100%.

Among broad-based index products, funds tracking the ChiNext Index, STAR 50 Index and CSI 500 Index closely followed their respective benchmarks and generated solid returns.

Among sector and thematic index products, GF Fund Management’s forward-looking positioning based on its assessment of industry development trends also contributed to strong performance. Products focusing on areas such as communications, semiconductors, power grid equipment, chips, rare metals, photovoltaics, new energy and energy storage batteries all delivered notable returns.

Meanwhile, Smart Beta strategies such as those focused on technology innovation and growth, QDII index products tracking markets such as the Nasdaq, and a number of enhanced index funds also recorded strong performance.

Industry analysts believe GF Fund Management has established clear competitive advantages in index investing. On the one hand, supported by a mature quantitative investment framework as well as capabilities in algorithmic trading and derivatives, the Company continues to improve index-tracking accuracy while actively managing portfolios with the aim of enhancing excess returns.

On the other hand, its active investment research capabilities provide in-depth insights into macroeconomic trends and industry developments, which are then applied throughout the index research, product management and quantitative investment processes. Through this approach, the Company seeks to provide investors with passive investment tools that are both more targeted and more efficient.

Fixed Income Provides Stability: All Products Delivered Positive Returns over the Past Year

While equity products generated strong upside participation, GF Fund Management’s fixed-income investment philosophy has consistently placed a strong emphasis on the margin of safety.

The Company follows a prudent and disciplined approach, seeking to generate long-term alpha across market cycles while controlling drawdowns. In doing so, it aims to provide conservative investors with long-term core allocation solutions featuring clearly defined risk-return profiles.

According to Wind data, as of May 25, all of GF Fund Management’s fixed-income products delivered positive returns over the previous year. Among them, 11 fixed-income funds generated returns of more than 10%, while one fixed-income fund achieved a return of 49.23%.

Industry observers noted that, under the current market environment, some of the better-performing fixed-income products tend to be strategies such as convertible bond funds and secondary bond funds. As these products maintain certain allocations to equities or convertible bonds, they are able to participate to some extent in equity market upside and enhance overall portfolio returns when equity markets perform strongly.

For investors with lower tolerance for volatility and a preference for stable long-term capital appreciation, fixed-income products with relatively lower allocations to equities and convertible bonds may be more suitable.

Looking ahead, Shenwan Hongyuan Securities noted that the accumulation of positive wealth effects in the A-share market has recently reached a point of qualitative change, with the market attempting to enter a self-reinforcing upward cycle. However, certain headwinds have also emerged, resulting in a short-term consolidation.

From a medium-term perspective, the cycle of improving wealth effects in the A-share market remains intact, while the upward trend in key industries continues. Although the macroeconomic environment may experience periodic disturbances, these are not expected to represent a fundamental change in trend, and the broader market upswing has not yet concluded.

China Galaxy Securities, meanwhile, believes that recent external macroeconomic disruptions, accelerated sector rotation and short-term profit-taking have jointly amplified market volatility. However, the technology theme remains strong, while the fundamental backdrop of abundant incremental market liquidity has not materially changed. Going forward, investors may continue to focus on the major market themes and identify structural investment opportunities within them.