Global asset classes have been caught in a volatile tug-of-war this year, with market rotation across sectors accelerating at a notable pace (Source: Wind). Over a longer horizon, the odds of succeeding by betting on a single asset class appear to be diminishing, making the case for diversified allocation increasingly compelling.

Against this backdrop, Yinhua Juyuan Duoyuan Wenjian Six-Month Holding Period Fund of Funds (FOF) (Class A: 027668, Class C: 027669), which focuses on diversified investment positioning, is currently in the subscription window.

Seeking to Navigate Market Cycles: The Case for Multi-Asset Allocation

According to data from the Asset Management Association of China, the number of domestic public funds reached 14,468 by the end of July. The challenges of both choosing and managing funds have become pressing pain points for investors. FOFs leverage the asset allocation expertise of professional investment teams, using funds as underlying investments to build a portfolio spanning multiple low-correlation asset classes. The goal is to hedge against cyclical rotation risks while pursuing an optimized balance between returns and risk over the long term.

On the performance front, the advantages of FOFs are backed by data. Wind data shows that the Wind Balanced-Debt Hybrid FOF Index has gained 33.82% cumulatively since its base date (October 25, 2017), more than double the 16.00% return of the CSI 300 Index over the same period; its annualized volatility stood at just 4.28%, far below the CSI 300's 18.40%, reflecting an effort to balance returns with volatility smoothing. (Source: Wind, period: 2017.10.25–2026.08.20; index historical performance does not guarantee future results).

Balanced Offense and Defense: Multi-Asset Synergy

The newly launched Yinhua Juyuan Duoyuan Wenjian Six-Month Holding Period FOF (Class A: 027668, Class C: 027669) is a balanced-debt hybrid product. According to the prospectus, the fund focuses on investment opportunities across bonds, A-shares, Hong Kong stocks, US equities, and gold. The bond portion concentrates on pure bond funds, emphasizing adjustments between short and long durations to seek relatively steady returns; the equity allocation ranging from 5% to 30% aims to capture excess return potential.

As a product structured around "fixed income as the core, equities as the enhancer," the fund is guided by long-term absolute returns, with a strong emphasis on drawdown control and client holding experience. During the investment process, risks are diversified across multiple asset classes and strategies, with a focus on return stability. Additionally, to further enhance the holding experience, the new fund incorporates a six-month holding period mechanism: on one hand, it helps investors curb the impulse for frequent trading and reduces losses from irrational redemptions; on the other, the medium-term lock-up balances liquidity flexibility with long-term investment discipline.

Balanced Wins: Quantitative Cycle Strategy Anchors Investment Direction

The proposed fund manager for Yinhua Juyuan Duoyuan Wenjian Six-Month Holding Period FOF (Class A: 027668, Class C: 027669), Wang Jiapeng, specializes in macro asset allocation, portfolio construction, and fund research. Wang integrates quantitative analysis into cyclical thinking, establishing a "three-step" core investment framework: first, strategic allocation sets direction, defining a long-term effective performance benchmark as the reference; second, tactical allocation adjusts the pace, applying cyclical thinking to dynamically configure assets and strategies on a balanced foundation; third, fund selection adds enhancement, using quantitative and qualitative models to identify quality funds.

This comprehensive "strategy-tactics-fund selection" system has been tested in practice through his managed products. Second-quarter reports show that as of June 30, Yinhua Huafeng Three-Month Holding Period Hybrid (FOF) Class A, managed by Wang, posted a net value growth of 5.68% since inception, with a benchmark return of -1.49%, delivering an excess return of 7.17%. (Data period: 2025.1.22–2026.6.30).

For investors facing a shifting market landscape, rather than chasing gains and cutting losses in a single asset, a more prudent approach may be to leverage professional FOFs for one-stop diversified allocation. Consider the ongoing subscription of Yinhua Juyuan Duoyuan Wenjian Six-Month Holding Period FOF (Class A: 027668, Class C: 027669), which enables multi-asset allocation through a single FOF vehicle.

Risk Disclosure

Investment involves risk; caution is advised. Funds are long-term investment tools primarily designed to diversify holdings and reduce the idiosyncratic risk of investing in a single security. Funds differ from bank deposits or other instruments that offer fixed income expectations. When purchasing fund products, investors may share in the gains generated by fund investments based on their holdings, but may also bear losses arising from fund investments.

Before making investment decisions, please carefully read the fund contract, prospectus, fund product overview, and other legal documents, as well as this risk notice. Fully understand the risk-return characteristics and product features of this fund, seriously consider all risk factors, and evaluate your own risk tolerance based on factors such as investment objectives, horizon, experience, and financial position. Make rational judgments and cautious decisions after understanding the product and sales suitability advice.

In accordance with relevant laws and regulations, Yinhua Fund Management Co., Ltd. provides the following risk disclosures: First, funds are categorized into equity funds, hybrid funds, bond funds, money market funds, funds of funds, and commodity funds based on investment targets. Different fund types yield different return expectations and carry varying degrees of risk. Generally, higher return expectations correspond to greater risk. Second, funds may face various risks during operations, including market risk, management risk, technical risk, and compliance risk. Massive redemption risk is a unique feature of open-end funds: when net redemption requests on a single trading day exceed a certain proportion of total fund shares (10% for open-end funds, 20% for periodically open funds, except for special products specified by the CSRC), investors may be unable to redeem all fund shares in a timely manner, or redemption payments may be delayed.

Third, investors should fully understand the difference between regular fixed-amount investments and savings methods like zero-deposit lump-sum withdrawal. Regular fixed-amount investment is a simple way to encourage long-term investing and average out costs, but it does not eliminate inherent fund investment risks, does not guarantee returns, and is not an equivalent substitute for savings. Fourth, special product risk disclosures: 1. The fund contract stipulates a minimum holding period; during this period, investors face liquidity constraints due to the inability to redeem or sell fund shares. Please refer to the "Risk Disclosure" section in the prospectus. 2. This fund may invest in stocks eligible for Stock Connect, which carries specific risks arising from differences in investment environment, targets, market systems, and trading rules under the Stock Connect mechanism.

Fifth, the fund manager commits to managing fund assets with honesty, diligence, and responsibility, but does not guarantee profitability or a minimum return. Past performance and net value levels do not indicate future performance. Performance of other funds managed by the fund manager does not constitute a guarantee of this fund's performance. Yinhua Fund Management Co., Ltd. reminds investors of the "buyer beware" principle: after making investment decisions, investment risks arising from fund operations and net value changes are borne by investors. The fund manager, custodian, distributors, and related institutions do not make any promises or guarantees regarding fund investment returns.

Sixth, this fund is raised by Yinhua Fund Management Co., Ltd. in accordance with relevant laws and regulations and registered with the China Securities Regulatory Commission (CSRC). The fund contract, prospectus, and product overview have been publicly disclosed via the CSRC fund electronic disclosure website and the fund manager's website. CSRC registration does not constitute a substantive judgment or guarantee of the fund's investment value, market prospects, or returns, nor does it indicate that investing in the fund is risk-free.