Text | Liu Zhentao
The general manager of the public fund circle has changed again!
On October 18, Ruiyuan Fund suddenly announced that the company's founder Chen Guangming stepped down as the company's general manager, and will focus more on investment management in the future, and Rao Gang, deputy general manager of the company, will replace Chen Guangming as general manager.
Chen Guangming can be said to be a fund veteran and benchmark figure in the market. Previously, Chen Guangming worked in Dongfanghong Asset Management and managed Dongfanghong No. 4, which achieved 7 times the performance return in 9 years. With excellent management performance, Chen Guangming once served as the general manager and chairman of Dongfanghong Asset Management.
In 2018, Chen Guangming left Dongfanghong Asset Management and wooed veterans of the fund market Fu Pengbo and Zhao Feng to establish Ruiyuan Fund Company. In 2021, Chen Guangming poached his old colleague Rao Gang and made him the company's deputy general manager. Today, Chen Guangming has retired from general manager and Rao Gang has taken over and started management.
With Chen Guangming's personal background and the reputation and ability of many fund veterans, Ruiyuan Fund has developed rapidly in the past four years and expanded its management scale rapidly. As of the end of the second quarter of 2022, the total assets under management of Ruiyuan Fund exceeded 180 billion yuan (including special accounts). Among them, the scale of assets under public offering management was 59.328 billion yuan.
As soon as the news of Chen Guangming's resignation as general manager came out today, it immediately aroused heated discussions in the market. According to China Fund News, some insiders said that Ruiyuan Fund has developed for more than 4 years, the company has developed steadily, and Chen Guangming is stepping down as general manager at this moment, which is conducive to enhancing the company's comprehensive management ability and giving full play to the advantages of team personnel.
However, some people in the market also said that Chen Guangming's resignation as general manager may also be related to the poor performance of funds managed by Ruiyuan Fund in the past one year and the decline in market reputation. After stepping down as general manager, Chen Guangming can spend more time and energy on investment research and improve market reputation.
We have observed that in the past 1 year, especially in 2022, the funds managed by Ruiyuan Fund have indeed performed poorly.
According to a previous report by China Securities News, as of May 27, 2022, the first batch of special account products of Ruiyuan Fund managed by Chen Guangming - Ruiyuan Insight Value Phase I No. 1, with a return of -21.09% in the past year.
In terms of public offerings, Ruiyuan Fund currently manages 3 public funds, and since 2022, the net value of 3 funds has been in a declining state. Among them, 2 mixed partial equity funds established for more than one year fell by more than 25% during the year, and mixed partial debt funds established for less than one year also fell by 5%.
Let's take a look at the situation of 2 equity funds.
Ruiyuan Growth Value Hybrid is the first public offering product issued by Ruiyuan Fund after its establishment, which is jointly managed by veteran Fu Pengbo and fund manager Zhu Xuan. Due to Fu Pengbo's long-term performance in Xingquan Fund in the past, Ruiyuan Growth Value Mix created a huge subscription share of more than 70 billion yuan in one day when it was raised in 2019, exceeding the upper limit of 5 billion shares raised by the fund.
Since the establishment of Ruiyuan Growth Value Mix, the net value income is 50.49%, and the performance is normal. As of the end of June 30, 2022, the fund's net assets were RMB32.489 billion, a decrease of RMB4.474 billion from the peak at the end of June 30, 2021.
The decrease in the fund's net assets is mainly due to the decline in the fund's net value, especially since 2022, the mixed net value of Ruiyuan Growth Value has fallen significantly, with a maximum drawdown of 40.29%.
According to the data, as of October 17, 2022, the net value of Ruiyuan Growth Value Hybrid fell by nearly 29% during the year. Among them, in the past three quarters, the net value of the fund fell by 17.14%, far exceeding the average of similar kinds.
From the perspective of the fund's holdings, the holding style is relatively scattered and biased towards balance, and the top ten heavy stocks have positions of about 40%-50%. Data shows that as of the second quarter of 2022, the top ten heavy stocks with a mixed growth value include: Sanan Optoelectronics, Lixun Precision, Oriental Yuhong, Wanhua Chemical and other related large-capitalization giants.
Although the fund's holdings are low, the giant stocks held have fallen significantly since 2022. For example, Sanan Optoelectronics fell by 48% during the year; Luxshare Precision fell by 41% during the year. The stock prices of many individual stocks fell sharply during the year, resulting in a sharp decline in the net value of the fund.
Let's look at another fund, Ruiyuan Balanced Value Three-Year Holding Hybrid, which is the second public offering product issued by Ruiyuan Fund, which has set a record for issuance subscription in one fell swoop. At the time of issuance in February 2020, the subscription amount was as high as 122.38 billion yuan, which is 20 times the fund's ceiling of 6 billion yuan.
As of the end of the second quarter of 2022, the three-year hybrid net assets of Ruiyuan Equilibrium Value were RMB16.43 billion.
Although the fund set a record amount of subscriptions at the time of its raising, its performance has been mediocre for more than two years of operation. The data shows that since 2022, the net value of the fund has fallen by 25.33%, 23.94% in the past 1 year, 13.37% in the past 2 years, and the net value return since its establishment is 24.18%.
In other words, most of the people who have purchased the hybrid fund of Ruiyuan Equilibrium Value for three years in the past two years are in a state of loss.
From the perspective of the fund's holdings, the holding style is also biased towards balance, with the top ten heavy stocks accounting for about 50%, but it is also a preference for giants. Data show that at the end of the second quarter of 2022, the fund's top ten heavy stocks include China Mobile, Oriental Yuhong, Meituan, Wanhua Chemical, etc.
Since 2022, Oriental Yuhong's stock price has been cut by half, Wanhua Chemical has fallen by 6%, and Meituan has fallen by 30%. The decline in the relevant stocks with heavy positions led to a sharp decline in the net value of the fund during the year.
The net value of the two equity funds fell sharply during the year, resulting in a large loss of funds in the first half of the year. According to the data reported by the fund, the profit loss of Ruiyuan Growth Value Hybrid in the first half of 2022 was 5.707 billion yuan, and the net profit loss of Ruiyuan Balanced Value Hybrid in the first half of 2022 was 1.506 billion yuan.
In addition, Ruiyuan Steady Allocation Two-Year Holding Period Mix, which has been established for less than a year, also lost 138 million yuan in profit in the first half of 2022. In the first half of 2022, the three funds under Ruiyuan Fund lost a total of 7.35 billion yuan.
Although Ruiyuan Fund lost 7.35 billion yuan in profits from the two funds in the first half of the year, it did not delay the fund company to collect management fees. Data show that in the first half of 2022, Ruiyuan Fund collected a total of 383 million yuan in management fees, a year-on-year increase of 5.42%.
During the year, the performance was poor, the profit was lost, and more management fees were charged, which attracted a lot of complaints from the basic people. In the fund community, some people complained, "Ruiyuan Fund is just like this at the moment, relying on the support of the halo of veterans such as Fu Pengbo, maybe sometimes it runs fast, but it may not run far." ”
Today, Chen Guangming stepped down as general manager to focus on asset management, and Rao Gang took over the position of general manager and began management work. Under the management of the new general manager and Chen Guangming's focus on asset management, can the market reputation of Ruiyuan Fund be improved? We'll keep an eye on it!