As the Spring Festival holiday approaches, the A-share market continues to experience volatility, but the new fund sector is already heating up. According to Wind data, as of February 6, 163 initial funds have been successfully established this year, with total issuance shares surging 76% year-on-year. During this period, 63 products ended their fundraising ahead of schedule, and several actively managed equity funds have emerged as minor hits. Dozens of funds are still in the pipeline for issuance.
While many investors remain undecided about holding cash or stocks during the holiday, over 150 new funds have already shown net value fluctuations, indicating rapid deployment of capital into the market. Which sectors are these accelerating funds targeting? How should investors navigate the dilemma of holiday positioning?
New fund issuance and portfolio construction are gaining pace. Wind data shows that, calculated by fund establishment date, 163 products have been launched this year, with total issuance shares reaching 151.07 billion. Compared to the same period last year, the number of new funds increased by about 40%, while issuance shares rose by 76%. Currently, 47 funds are in the issuance phase, with nearly 30 new products scheduled for launch. The influx of subsequent incremental funds is expected to further invigorate the A-share market.
The warming trend is even more evident in the issuance pace. So far this year, 63 funds have announced early closures, nearly half more than the same period last year. Among them, 52 products concluded their fundraising in less than five days, with some even selling out in a single day. For instance, Bosera Yingtai Zhenxuan 6-Month Holding and Southern Wenjia Multi-Asset Allocation 3-Month Holding raised 5.844 billion yuan and 2.602 billion yuan, respectively, in just one day.
Unlike the previous dominance of passive index products, actively managed equity funds have also seen several minor hits this year. For example, GF Research Zhixuan raised 7.221 billion yuan in just 10 days, while hybrid equity funds like Huabao Youshi Industry and Morgan Stanley Shanghai-Hong Kong-Shenzhen Technology raised over 4 billion yuan each.
An institutional source in South China noted that market-favored products currently fall into two categories: steady-advancing FOFs and "fixed-income+" products catering to conservative investors, and actively managed equity funds led by managers with proven track records and tangible returns for investors. For instance, Morgan Stanley Shanghai-Hong Kong-Shenzhen Technology fund manager Lei Zhiyong was the top performer in active equity in 2024.
Notably, foreign-funded public offering institutions are also accelerating their布局 in the Chinese market. Preliminary statistics show that, as of February 6, foreign public fund managers have launched 54 new funds over the past year, raising nearly 73.6 billion yuan in total. Strategies vary significantly among institutions, with Morgan Stanley Funds focusing on active equity and Manulife Funds emphasizing fixed-income products.
Which sectors are the newly raised funds flowing into? Thematic investments among newly established products this year frequently cover hot sectors such as non-ferrous metals, chips, and new energy batteries, with seven funds alone targeting non-ferrous metals. Opportunities in Hong Kong stocks are also gaining attention, with 16 related products.
In sync with the issuance pace, new funds are rapidly building their portfolios, as evidenced by slight net value fluctuations in several recent products. Wind data indicates that 151 newly established funds have already shown net value changes, suggesting managers have begun investing. However, some new funds remain cautious, with net values holding steady.
For example, Xinyuan Xinrui Quantitative Stock Selection A, established on January 27 as a sponsor-backed product, saw a 0.5% increase in its adjusted net asset value by January 30, with cumulative returns reaching 2.69% by February 6. Similarly, Guotai Haitong Low-Carbon Economy Ruixuan A, launched on January 20, achieved a cumulative return of 2.14%.
Industry insiders note that fund portfolio construction tends to be more cautious during market downturns. However, as the market recovers, many thematic products are established via sponsor-backed methods, and some normally raised funds close early to "race against time" and seize market opportunities.
With the Spring Festival holiday approaching and market volatility resurfacing, the debate over "holding cash" versus "holding stocks" during the holiday has intensified. Some investors are cashing out to avoid holiday uncertainties, while others fear missing potential "red envelope" rallies.
Historical patterns, current market fundamentals, and institutional views suggest neither strategy is inherently superior; the key lies in investors' risk tolerance. Yang Chao, Chief Strategist at China Galaxy Securities, stated that pre-holiday markets typically exhibit "holiday risk-off" characteristics. Post-holiday, as policy windows open and risk appetite rebounds, focus may shift back to growth sectors with industrial catalysts and earnings certainty. The pace is expected to be milder, with a steadier slow-bull market.
Yang believes upward momentum in A-shares remains strong, and post-holiday gains are highly probable. While "holding cash" locks in certain returns, it may sacrifice post-holiday outperformance. In his view, "holding light positions in stocks" during the holiday is a prudent strategy aligned with historical trends, balancing pre-holiday volatility risks with post-holiday participation opportunities, especially during the current transition phase where policy expectations are partially realized but earnings validation hasn't begun.
Jindalai, Macro Strategy Researcher at Golden Eagle Fund's Equity Research Department, noted that A-shares have stabilized after a rapid decline, with indices oscillating on low volume amid pre-holiday effects and commodity swings. This volatility likely stems from收敛 risk appetite before the holiday and profit-taking in previously high-flying sectors, representing "structural cooling" rather than a trend reversal in the bull market.
Jindalai emphasized that the week before to two weeks after the Spring Festival often see higher annual win rates. Short-term, large-cap value and defensive attributes may still hold配置 significance. Post-holiday, as risk appetite warms and earnings clues emerge, small- and mid-cap growth stocks and AI-related产业链 may rebound, with volatility providing a healthier starting point for renewed focus on main themes.
Yang Jianhua, Deputy General Manager and Investment Director at Great Wall Fund, stated that the lack of a new investment narrative and the long holiday may lead to temporary观望. Overly consensus expectations often trigger sharp short-term swings. However, after volatility, sectors with intact long-term logic and sustainable earnings delivery may still offer opportunities. He also advised monitoring potential shifts in long-depressed sectors.
Regarding future sector opportunities, Lei Zhiyong, Equity Investment Director at Morgan Stanley Funds, believes泛科技 industries will continue to offer abundant opportunities in 2026, driven by policy and engineer dividends. He看好 AI computing, AI applications, and high-end manufacturing. Lei emphasized that the tech wave is ongoing, with AI remaining a core investment theme. AI applications, in particular, offer弹性 potential. Additionally, as more high-quality high-end manufacturers list in Hong Kong, foreign inflows may accelerate, creating a配置 window for Hong Kong stocks and further boosting A-share risk appetite.
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