During the third quarter of 2026, the A-share market experienced broad volatility and pullbacks, with performance divergence between growth sectors and traditional blue-chip stocks emerging as a key factor influencing actively managed equity fund returns.
Two products under Jinxin Fund—Jinxin Shenzhen Growth Mixed and Jinxin Intelligent China 2025 Mixed—both employ flexible allocation strategies, yet they display notable differences in investment direction, top holdings composition, and risk-return characteristics.
In terms of performance, the A-class shares of Jinxin Shenzhen Growth Mixed declined 3.54% in the third quarter but significantly outperformed the benchmark for the same period; the A-class shares of Jinxin Intelligent China 2025 Mixed rose 7.90%, achieving counter-trend growth against a declining benchmark.
Regarding holdings, the former focuses on batteries, industrial equipment, medical devices, and advanced manufacturing in the broad technology sector, while the latter centers on bank stocks and also allocates to telecommunications operators and other high-dividend assets.
Where the Portfolios Are Positioned
Specifically, in the third quarter, the top ten holdings of Jinxin Shenzhen Growth Mixed were: Sunwoda Electronic (300207.SZ), RIGOL Technologies (688337.SH), Yizumi Holdings (300415.SZ), Tofflon Science and Technology (300171.SZ), SonoScape Medical (300633.SZ), Kede Numerical Control (688305.SH), Wondfo Biotech (300482.SZ), BYD (002594.SZ), Baolong Technology (603197.SH), and Aier Eye Hospital (688050.SH).
In terms of position sizing, as of the end of the third quarter of 2026, the equity position of Jinxin Shenzhen Growth Mixed stood at 71%.
On performance, the net value growth rates for the A, C, and E class shares of Jinxin Shenzhen Growth Mixed in the third quarter were -3.54%, -3.69%, and -3.70% respectively, while the benchmark return for the same period was -13.25%. The A-class shares outperformed the benchmark by 9.71 percentage points, while the C and E classes outperformed by 9.56 and 9.55 percentage points respectively. Although the fund still posted losses in the third quarter, its drawdown was significantly smaller than the benchmark.
Fund manager Huang Biao noted in the quarterly report that in the third quarter of 2026, domestic economic operations continued to remain broadly stable, with the structural pattern still characterized by strong external demand and slightly weakening domestic demand. Among these, exports from TMT and advanced manufacturing industries, as well as BD licensing in the pharmaceutical and biotech sector, maintained double-digit or even triple-digit growth, fully reflecting China's industrial advantages. At the same time, the fluctuating situation of the US-Israel-Iran conflict, along with unclear inflation pressures and Federal Reserve interest rate policy trends, brought short-term shocks to the market. Combined with significant earlier gains in some technology sectors, this led to notable pullbacks in certain segments.
At the industry level, market corrections and geopolitical fluctuations have not changed the direction of industrial trends. Innovation in technology, products, and business models continues to emerge in fields such as TMT, advanced manufacturing, pharmaceuticals and biotech, and new consumption. AI technology is penetrating into all industries and technical domains, thereby bringing structural investment opportunities.
Overall, Huang Biao stated that he remains optimistic about medium- to long-term investment opportunities in the A-share market. In terms of specific investments, he favors outstanding companies that possess medium- to long-term core competitiveness amid industrial transformation and whose valuations offer good value.
Banking and High-Dividend Assets Take Center Stage
In the third quarter, the top ten holdings of Jinxin Intelligent China 2025 Mixed were: Industrial and Commercial Bank of China (601398.SH), Bank of Communications (601328.SH), China CITIC Bank (601998.SH), Industrial Bank (601166.SH), China Mobile (600941.SH), China Construction Bank (601939.SH), Bank of China (601988.SH), Bank of Shanghai (601229.SH), Ping An Bank (000001.SZ), and Shanghai Pudong Development Bank (600000.SH).
In terms of position sizing, as of the end of the third quarter of 2026, the equity position of Jinxin Intelligent China 2025 Mixed stood at 80.23%.
On performance, the A-class shares of Jinxin Intelligent China 2025 Mixed rose 7.90% in the third quarter, while the C-class shares rose 7.74%. The benchmark for the same period fell 8.83%, corresponding to excess returns of 16.73 and 16.57 percentage points respectively. Both share classes achieved positive returns, and compared with Shenzhen Growth, their performance was more outstanding.
The difference in its third-quarter performance compared to Shenzhen Growth lies in the fact that the fund did not primarily bet the portfolio on high-beta technology growth sectors, but instead centered on bank stocks while allocating to telecommunications operators and other assets with high-dividend characteristics. The advantage of this strategy is that when market risk appetite declines and growth stock valuations come under pressure, high-dividend assets such as banks may provide relatively stable earnings expectations and cash dividend support.
Fund manager Yang Chao noted in the quarterly report that in the third quarter of 2026, the portfolio continued to follow the fund contract's provisions, continuously tracking the latest developments in intelligent industry technologies and business models in accordance with economic changes. Industries and enterprises providing intelligent services, such as smart finance and smart banking, also remained key allocation directions for the portfolio. The portfolio maintained a stable investment strategy—on one hand, paying attention to company valuations and dividends; on the other hand, keeping watch on intelligent hardware-related fields based on market changes. Compared with the second quarter, the portfolio increased allocations to telecommunications operators and other intelligent-related stocks with high-dividend characteristics, and also added some high-dividend stocks outside of banks and insurance.
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