This year, the number of fund transformation may exceed 180, breaking through 100 for three consecutive years

category:Finance
 This year, the number of fund transformation may exceed 180, breaking through 100 for three consecutive years


Many of the above products are transformation under the requirements of the new regulations on asset management. A person from the middle-sized public offering market department in Shanghai said that funds that do not meet the regulatory requirements and do not adapt to the market will gain new life through transformation, which is good for the holders and the fund companies.

Zhongrong Fund said that the transformation is to respond to policy changes and market changes and reflect the value of existing products. This shows that fund companies are more mature in the operation of product lines, and realize that fund products should meet the needs of market, supervision and investors, comprehensively consider the needs of economic development and capital market, meet the reasonable demands of investors, and comply with the development status of the asset management industry, This is a mature performance of the fund industry.

In the view of Zhongrong fund, transformation plays a key role in fund metabolism. Public fund products should meet the requirements of the foundation people. Investors need to obtain effective investment and financing tools to achieve stable investment growth. Active transformation of funds is an important way to realize this demand.

Yang Han, a fund analyst at Shanghai Securities Fund Evaluation and Research Center, said that public funds, as a kind of financial products, need to be constantly updated to meet new requirements in order to maintain long-term vitality. Compared with the declaration of new products, fund transformation can effectively save human costs and is a more cost-effective way.

Yang Han believes that metabolism is essentially the elimination of products that do not conform to the new regulations on asset management and do not meet the needs of the future capital market. It is inevitable that some fund products established in the past are not suitable for future development needs. For these products, positive transformation is the most efficient way.

There are four trends in the transformation

In addition, some of the transformation is to meet the demands of investors, such as the recent transformation of monetary funds into bond funds, bond funds into convertible bond funds, and so on.

Fund transformation involves the experience of stock holders. Fund companies will change their products from the perspective of fund type similarity, product risk characteristics and market hot spots, so as to bring better experience for holders.

Yang Han said that after the fund transformation, it is equivalent to a new product for investors, and it is necessary to reconsider whether the product type and risk return characteristics are still suitable for holding. At the same time, although the transformation may not be very friendly for the original holders, after all, the risk level, investment scope and investment mode of the fund have changed, but for the products that are about to disappear, the transformation can help investors make a smooth transition, which is a more responsible scheme. In the context of regulatory policy requirements and market changes, fund transformation is becoming a new way out for non-compliance inventory and lack of market adaptability products. After the conversion of some funds, the scale of funds has increased by dozens or even hundreds of times, and the effect of transformation has become increasingly prominent. Source: Ren Hui, editor in charge of Securities Times_ NBJ9607

Yang Han said that after the fund transformation, it is equivalent to a new product for investors, and it is necessary to reconsider whether the product type and risk return characteristics are still suitable for holding. At the same time, although the transformation may not be very friendly for the original holders, after all, the risk level, investment scope and investment mode of the fund have changed, but for the products that are about to disappear, the transformation can help investors make a smooth transition, which is a more responsible scheme.