The third-quarter reports of the top-performing funds in ordinary equity, partial equity hybrid, and flexible allocation categories have been disclosed, with Caitong IC Industry A, Hywin Advantage Selection, and Caitong Multi-Strategy Fuxin taking the lead. These funds predominantly allocated to overseas computing power and semiconductor sectors.
Caitong Fund’s two leading funds, managed by Jin Zicai, significantly overweighted the optical communication sector and further increased exposure to overseas computing power. The Caitong Multi-Strategy Fuxin fund reported a net asset value per share of RMB 3.9940 by quarter-end, with a 91.24% growth rate, outperforming its benchmark return of 9.26%. Key holdings, including Shengyi Technology, Zhongji Innolight, Shengyi Electronics, and Shennan Circuits, each accounted for over 9% of the fund’s net value. Compared to Q2, the fund newly added Shengyi Technology, Shennan Circuits, Wus Printed Circuit, Sinoma Science & Technology, and Guangdong Dtech Technology as major holdings.
Jin Zicai emphasized that overseas AI growth has become more certain, with an accelerated trajectory. He projects faster demand growth for computing power in 2026 and 2027, supported by strong fundamentals. Adjusting his portfolio, he noted the market previously undervalued optical communication stocks, leading to aggressive overweighting. Despite Q3’s rally in overseas computing power, he maintains conviction in leading optical communication firms’ investment potential.
Caitong IC Industry A, another fund under Jin’s management, delivered an 86.49% quarterly return, securing the top spot among ordinary equity funds. Its portfolio saw notable adjustments, with increased stakes in Foxconn Industrial Internet, Shengyi Electronics, Zhongji Innolight, and Eoptolink Technology. Top holdings at quarter-end included Foxconn Industrial Internet (10% of net value), Shengyi Technology (10%), Zhongji Innolight, Shennan Circuits, and Wus Printed Circuit. Jin reiterated his bullish stance on overseas computing power, citing AI’s rising demand and robust fundamentals. He highlighted video inference as a key driver, suggesting computing power demand is still in its early growth phase.
Hywin Advantage Selection, managed by Wu Haining, emerged as the top partial equity hybrid fund with a 100.06% return, beating its benchmark’s 13.78%. Wu maintained high exposure to North American AI computing power, viewing it as a core long-term holding while focusing on transformative tech trends. She also favored domestic semiconductor equipment, energy storage, and edge AI. The fund’s top 10 holdings saw eight new additions, including Shenzhen Techwinsemi Technology, Shannon Semiconductor Technology, Lens Technology, and Advanced Micro-Fabrication Equipment.
Wu noted increased allocation to the memory sector since September, driven by rising chip prices and AI-driven storage demand. With Sora2’s release, video generation—requiring hundreds of times more storage than text/images—has amplified demand. She highlighted SSD’s rapid adoption over HDD and constrained supply in memory chips. Domestic enterprise storage modules’ low localization rates signal inevitable growth, with Q3 marking the start of a memory upcycle. Wu also pointed to energy storage’s long-term potential amid global power shortages.
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