China Industrial Securities Global Dividend Mixed Fund (Class A 021247, Class C 021248) will be issued with confidence from May 20th to June 14th! The Fund mainly invests in listed companies related to dividend themes, i.e., companies with stable dividend policies, higher dividend returns, higher dividend expectations or sustainable dividend distribution capabilities, and strives to achieve long-term steady appreciation of net asset value under the premise of effectively controlling portfolio risks, so as to make equity investment more cost-effective!
1. What is a bonus strategy?
Dividend investment strategy, also known as high dividend strategy and dividend investment strategy, is an investment strategy that focuses on the dividend ability of listed companies. From the perspective of historical market, the dividend strategy has outperformed the overall performance of the market in the long run, and the investment cost performance in the volatile market is particularly obvious.
Data source: WIND, as of 2023/12/31, the CSI Dividend Index is only used as an example of a dividend theme strategy, the fund has not yet been established, the performance benchmark index does not represent the future performance of the fund, historical performance does not represent the future, and the fund investment should be cautious.
At the same time, high-dividend assets have entered a reasonable valuation range: as of 2024/03/31, taking the CSI Dividend Index as an example, the price-earnings ratio is 6.73 times, which is still lower than several broad-based indices and lower than the historical 66.36% of the index's time, and the dividend yield of 5.39% is also significantly higher than the broad-based level and higher than the index's historical 79.78% of the time. In a cycle of declining interest rates, dividend assets with lower valuations and higher dividend yields may be more cost-effective.
Data source: WIND, as of 2024/3/31, the CSI Dividend Index is only used as an example of a dividend theme strategy, the fund has not yet been established, the performance benchmark index does not represent the future performance of the fund, historical performance does not represent the future, fund investment should be cautious.
2. What kind of product is China Industrial Securities Global Dividend Fund?
The fund mainly invests in listed companies related to dividend themes, that is, companies with stable dividend policies, higher dividend returns, higher dividend expectations or continuous dividend distribution capabilities, and strives to achieve long-term steady appreciation of net asset value under the premise of effectively controlling portfolio risks.
The Fund has set up a dividend agreement clause in the income distribution clause to enhance the sense of investment gain: on the premise of meeting the relevant fund dividend conditions, the fund shall distribute income no less than once a year, and the proportion of each income distribution shall not be less than 80% of the distributable profit of each time, and income distribution may not be carried out if the Fund Contract has been in effect for less than 3 months. Investors can choose cash dividends or automatically convert cash dividends into corresponding types of fund shares for reinvestment, and if investors do not, the default income distribution method of the Fund is cash dividends.
Note: When there are changes in national policies, laws and regulations, and relevant guidelines, or the fund manager believes that there are more appropriate criteria for defining the dividend theme, the fund manager may change the definition method and announce it in the updated prospectus after performing the appropriate procedures.
3. Who is the proposed fund manager of the China Industrial Securities Global Dividend Fund?
Proposed fund manager Zhang Xiaofeng
Zhang Xiaofeng, the proposed fund manager, has been engaged in the research and asset pricing of low-risk products in the FOF Investment and Financial Engineering Department and the Fixed Income Department since 2011, and has accumulated both quantitative and active investment research methods.
● Rich experience: 13 years of experience, master of mathematics from Shanghai Jiao Tong University
● Balanced and good fighting: the intensive cultivation index has been enhanced, and the historical performance is excellent
● Diversified strategies: active + quantitative two-pronged
4. What is the historical performance of the proposed fund manager, Zhang Xiaofeng?
Zhang Xiaofeng, the proposed fund manager, has co-managed the Xingquan CSI 800 Index Enhanced Fund with Shen Qing, a 27-year veteran, since May 24, 2021. As of the end of the first quarter of 2024, the net unit value of the fund (Class A) has increased by -6.04%, exceeding the performance benchmark by 21.35 percentage points, and the net unit value of C share has exceeded the performance benchmark by 20.28 percentage points over the same period.
Looking back on the two full years that Zhang Xiaofeng has co-managed, the product has achieved significant excess returns. In 2023, the net unit value of the product's A share increased by 1.17%, ranking in the top 5% (7/145) of similar products and the top 6% (7/127) of C share in the past year.
Zhang Xiaofeng's research experience: Since April 2011, he has worked as a researcher at China Industrial Securities Global Fund. He is currently the fund manager of Xingquan CSI 800 6-Month Holding Index Enhanced Fund (co-managed with Shenqing since May 24, 2021). Risk warning: The data has been reviewed with the custodian bank. Xingquan CSI 800 Index Enhanced A2021/5/24-2024/3/31 Cumulative Growth and Performance Benchmark: (-6.04%/-27.39%), 2021/2/9-2021/12/31 (2.64%/-6.08%), 2022 (-10.71%/-19.55%), 2023 (1.17%/-9.89%). Xingquan CSI 800 Index Enhanced C2021/5/24-2023/12/31 Cumulative Growth and Performance Benchmark: (-7.11%/-27.39%), 2021/2/9-2021/12/31 (2.28%/-6.08%), 2022 (-11.07%/-19.55%), 2023 (0.77%/-9.89%). Performance ranking data source: Galaxy Securities, 2023/1/1-2023/12/31. Past performance is not indicative of the future, and other funds managed by the fund manager are not indicative of the performance of the fund, so investment should be cautious.
5. What is the investment philosophy and investment strategy of the proposed fund manager?
Investment philosophy: Based on in-depth value research, we sincerely create "disciplined dividend investment". Zhang Xiaofeng, the proposed fund manager, emphasizes reverence for the market, respect for discipline and deep value in investment, and conducts negative screening based on the mainstream dividend index targets in the market to eliminate the value traps: remain vigilant against the phenomenon of hollowing out dividends, high dividends falling out, cyclical high dividends, etc., and should also pay attention to the sustainability of highly leveraged and high-dividend companies, and strive to select dividend style assets with real long-term value.
Investment strategy: In the management of the fund, the proposed fund manager Zhang Xiaofeng intends to adopt the "core + satellite" strategy, on the one hand, with reference to the mainstream dividend index and combined with active stock selection, and strive to achieve better returns in the long run, on the other hand, the use of small and medium-sized market capitalization active stock selection strategy, through the study of fundamentals, the layout of varieties with potential excess returns, and then for the holders to strive for competitive investment returns.
6. What is the market view of the proposed fund manager?
"Dividend investing is an investment that seeks certainty. We believe that the essence of investment is the realization of DCF (discounted cash flow model), a group of birds in the forest is not as good as a bird in hand, through regular dividends to transfer the cash flow distributed by listed companies to holders, for holders to create a relatively stable cash flow, more in line with the essence of dividend investment. ”
"A disciplined dividend investment strategy helps to reduce the risk of making mistakes, on the one hand, staying calm in the market frenzy, not blindly following the mainstream investment formula (which may be very crowded when the investment formula is widely known), helping to avoid following the trend and trading crowded assets, and stick to the most essential DCF pricing. ”
"On the other hand, when the market is pessimistic, it can also maintain its determination, improve its confidence in holding stocks based on the judgment of the more certain parts of the DCF, and avoid the possibility of "wrongful killing" of high-dividend assets
"For future holders, we will take every trust seriously, and don't be small and small."
——Proposed fund manager Zhang Xiaofeng
7. In the current market, is it worth investing for the long term?
The trough breeds potential energy, and the bottom range shows consensus. The lower the value of the current stock market, measured by the price-to-earnings ratio (TTM), the lower the value, the more "cheap" the stock asset is, and the lower the investment cost. As of 2024/3/31, the valuations of many important indices such as CSI 300, CSI 500, ChiNext Index, and Hang Seng Index are all in the historically low range.
Source: Wind, all from the listing date to 2024/3/31. The valuation index is calculated as follows: P/E ratio PE (TTM) = ∑ total market capitalization/∑ net profit attributable to shareholders of the parent company (TTM), the value of the valuation quantile is 0-100%, the lower the value, the cheaper the valuation at the current point in time compared with the historical time range. Risk Warning: The development time of the mainland securities market is relatively short, which cannot reflect all stages of market development, history does not represent the future, and investment should be cautious.
The data shows that choosing to hold active equity funds for a long time has the opportunity to exchange income space for the rose of time. From June 2009 to the end of 2023, the four stock indexes A, B, C, and D with stage representation were selected to be below 3,000 points, and compared with the returns of active equity funds in the same period, which shows the long-term power of active management.
The biased equity fund index is used here to represent the average performance of active equity funds across the market. Source: Wind, 2009/6/30-2023/12/31. The SSE Index and the Equity Biased Fund Index are not fully consistent with the Fund's strategy, and the Fund has not yet been established and has no historical performance.
8. What is the strength of the investment and research team of China Industrial Securities Global Fund?
● 12 Taurus company has excellent long-term performance, and invites you to start with confidence:
In the past ten years, China Industrial Securities Global Fund has ranked third in the industry in terms of equity investment ability (3/61), and has been rated by authoritative institutions ★★★★★, and has always been committed to creating medium and long-term returns. By the end of 2022, the company has won a total of 12 Golden Bull Fund Management Company Awards, the "Oscar" of the fund industry.
● 39% of the employees of the professional team of investment research and exchange are escorted for the strength of dividend investment:
The company's investment research and trading team accounts for 39% of the total number of employees, providing strong professional support for fund management. The research team is divided into 4 groups according to the covered industries: TMT, cycle, consumption and manufacturing, and each group is headed by senior researchers, and the business is "passed on from generation to generation" to promote the systematic improvement of the company's research level.
"China Industrial Securities Global Fund has an excellent research team that is able to provide valuable industry perspectives on a regular basis. Dividend investing needs to focus on identifying value traps, which are inseparable from individual stocks and sector research, and we believe that the research support of our internal team will be very helpful in this work. ”
——Proposed fund manager Zhang Xiaofeng
9. What are the investment ratios, performance benchmarks, and risk-return characteristics of this product?
● Investment ratio: The proportion of investment in equity assets is 60%-95% of the fund's assets (of which the proportion invested in the underlying stocks of the Hong Kong Stock Connect accounts for 0-50% of the stock assets); the proportion of investment in dividend-themed stocks defined by the fund shall not be less than 80% of the non-cash fund assets; After the trading margin required for treasury bond futures and stock option contracts, the Fund shall maintain a total investment ratio of not less than 5% of the Fund's net asset value in cash or government bonds with a maturity date of less than one year, of which cash does not include settlement reserves, deposit margins, subscription receivables, etc.
● Performance benchmark: CSI Dividend Index yield ×60% + CSI Hong Kong Stock Connect High Dividend Investment Index yield ×20% + China Bond Composite (Full Price) Index yield ×20%
● Risk-return characteristics: The fund is a hybrid fund (R3), and its expected risk and return are higher than those of bond funds and money market funds, and lower than those of equity funds.
10. What is the rate schedule for this product?
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Risk Warning: The Fund is a hybrid fund, and the expected return and expected risk are higher than those of money market funds and bond funds, and lower than those of equity funds. The fund manager has rated it R3. The performance benchmark of the Fund is: CSI Dividend Index Yield ×60% + CSI Hong Kong Stock Connect High Dividend Investment Index Yield ×20% + China Bond Composite (Full Price) Index Yield ×20%. The proportion of the Fund's investment in equity assets is 60%-95% of the Fund's assets (of which the proportion invested in the underlying stocks of the Hong Kong Stock Connect accounts for 0-50% of the equity assets), the proportion of investment in the dividend-themed stocks defined by the Fund shall not be less than 80% of the non-cash fund assets, and at the end of each trading day, after deducting the trading margin required to be paid for stock index futures, treasury bond futures and stock option contracts, the Fund shall maintain a total investment ratio of cash or government bonds with a maturity date of less than one year not less than 5% of the Fund's net asset value , of which cash does not include settlement reserves, deposited margins, subscription receivables, etc. The CSI Dividend Index data involved in the materials is only used as an example of the dividend theme strategy, the Fund has not yet been established, the performance benchmark index does not represent the future performance of the Fund, and the historical performance does not represent the future, and the fund investment should be cautious. For the terms of profit distribution and dividends of the Fund, please refer to the full fund contract and prospectus of the Industrial Securities Global Dividend Mixed Fund. Note: The dividend clause is not used as a profit guarantee and performance commitment, and the Fund does not necessarily pay dividends every year. Zhang Xiaofeng's research experience: Since April 2011, he has worked as a researcher at China Industrial Securities Global Fund. He is currently the fund manager of Xingquan CSI 800 6-Month Holding Index Enhanced Fund (co-managed with Shenqing since May 24, 2021). Risk warning: The data has been reviewed with the custodian bank. Xingquan CSI 800 Index Enhanced A2021/5/24-2024/3/31 Cumulative Growth and Performance Benchmark: (-6.04%/-27.39%), 2021/2/9-2021/12/31 (2.64%/-6.08%), 2022 (-10.71%/-19.55%), 2023 (1.17%/-9.89%). Xingquan CSI 800 Index Enhanced C2021/5/24-2023/12/31 Cumulative Growth and Performance Benchmark: (-7.11%/-27.39%), 2021/2/9-2021/12/31 (2.28%/-6.08%), 2022 (-11.07%/-19.55%), 2023 (0.77%/-9.89%). Investors should carefully read the fund contract, prospectus and other legal documents of the fund to understand the risk-return characteristics of the fund, and according to their own investment objectives, investment period, investment experience, Determine whether the fund is suitable for the investor's risk tolerance, independently judge the investment value of the fund, make investment decisions independently, and bear the investment risks by themselves. The mainland fund has been in operation for a relatively short period of time and does not reflect all stages of the development of the stock market. The performance of other funds managed by the fund manager or other portfolios previously managed by the proposed fund manager does not constitute a guarantee of the performance of the fund. Past performance is not indicative of the future, and there is a risk of fluctuation in the fund's returns. Funds should be invested with caution and should be chosen carefully.