China Merchants Fund recently completed a high-profile senior management transition that has drawn significant industry attention, with General Manager Zhong Wenyue beginning to serve as acting chairman. However, this veteran who grew up within the China Merchants system is facing a challenging situation.

As the industry surges ahead, the company's assets under management have contracted against the trend, and star fund managers have departed one after another. More thought-provoking is that despite being backed by the "retail king" China Merchants Bank, its channel advantages seem difficult to convert into performance benefits for its own business. Zhong Wenyue faces a difficult test concerning independent development.

**One Person "Shouldering Three Roles"**

China Merchants Fund recently announced changes to its senior management, with Wang Xiaoqing stepping down as chairman on September 24 due to work arrangements, without transitioning to any other position within the company. General Manager Zhong Wenyue will serve as acting chairman.

Unlike previous arrangements where China Merchants Bank vice presidents directly served concurrently, after Wang Xiaoqing's departure, China Merchants Fund did not immediately announce a new chairman successor, but instead adopted the approach of having General Manager Zhong Wenyue serve in an acting capacity. This arrangement makes Zhong Wenyue a rare "leader" at China Merchants Fund who simultaneously shoulders the three roles of Party Secretary, General Manager, and Chairman.

Zhong Wenyue is a veteran who grew up within the China Merchants system. Public records show his career began in 1992, having worked at institutions including China National Agricultural Trust Fujian Group, Shenyin Wanguo Securities, and China Merchants Bank. In June 2015, Zhong Wenyue joined China Merchants Fund, serving in positions including Deputy Party Secretary, Executive Deputy General Manager, and Chief Financial Officer. After eight years at China Merchants Fund, in July 2023, he was transferred to China Merchants Bank Wealth Management as Deputy Party Secretary and President. In May this year, Zhong Wenyue returned to China Merchants Fund as Deputy Party Secretary, Director, and General Manager. Two months later, he further assumed the role of Party Secretary.

As Zhong Wenyue returned, China Merchants Fund's core management team underwent accelerated restructuring. In May and June, the company successively promoted four senior executives to deputy general manager level. On August 26, China Merchants veteran Tan Zhiyong officially assumed the position of Deputy General Manager at China Merchants Fund, and the company's new leadership team has gradually become clear.

**Management Changes Had Early Warning Signs**

The management changes at China Merchants Fund had early warning signs. On August 4, China Merchants Bank announced that Wang Xiaoqing had resigned from his position as vice president due to work reasons. Subsequently, China Merchants Group appointed Wang Xiaoqing as Party Secretary of China Merchants Financial Holdings and recommended him for the position of general manager, with the original general manager Liu Hui retiring due to age. On September 12, China Merchants Financial Holdings officially announced the appointment of Wang Xiaoqing as general manager. The industry then anticipated that his concurrent chairman positions at China Merchants' subsidiary fund and insurance companies would also be adjusted accordingly.

How did Wang Xiaoqing perform during his tenure? According to materials provided to media by China Merchants Fund personnel, Wang Xiaoqing joined China Merchants Fund in March 2020, successively serving as general manager and chairman. During his five years in office, China Merchants Fund achieved a doubling of its public fund and non-monetary fund assets under management, consistently maintaining top-ten industry levels, with steady progress across all business lines and significant development in equity, fixed income, fixed income plus, index, pension, and public REITs sectors.

According to statistics from Guotai Junan Securities, as of the end of Q2 2025, China Merchants Fund's equity fund absolute returns ranked in the top 30% industry-wide across one-year, two-year, three-year, and five-year dimensions, with one-year and two-year periods ranking first and second among medium-sized equity companies.

**Talent Exodus Dilemma**

Competition in the public fund industry is becoming increasingly fierce. In the first half of 2025, total non-monetary public fund assets exceeded 34 trillion yuan, with leading institutions accelerating expansion. Nine of the top ten fund companies achieved substantial scale growth, with China Asset Management growing by over 120 billion yuan in a single quarter, and multiple institutions including E Fund and GF Fund achieving growth exceeding 50 billion yuan.

Against the backdrop of overall public fund industry expansion, China Merchants Fund's profits experienced decline. According to the semi-annual report released by China Merchants Securities, in the first half of 2025, China Merchants Fund's net profit declined 6.81% year-over-year, with revenue increasing only 1.17% year-over-year.

More concerning is that China Merchants Fund has suffered serious talent exodus in recent years. Over the past year, the company has been deeply mired in a "resignation wave": billion-yuan equity leader Zhai Xiangdong departed, fixed income star Ma Long left for Tianhong Fund, and outstanding supervisor Jia Chengdong moved to Shenwan Hongyuan Fund as deputy general manager.

Sources close to China Merchants Fund indicated that since the beginning of this year, four personnel have left the company, including well-known figures like Ma Long and Zhai Xiangdong. In reality, these personnel changes represent normal industry mobility, but because these fund managers have high market recognition, it amplified market attention on the company's talent exodus. While talent loss brings certain losses, it still falls within normal parameters.

As the "retail king," how much does China Merchants Bank's fund distribution business help China Merchants Fund? From 2021 to 2024, China Merchants Bank's fund distribution income fell from 12.32 billion yuan to 4.165 billion yuan, a significant decline. Ant Fortune, China Merchants Bank, and Tiantian Fund are the largest channels for public fund distribution. However, despite being backed by retail king China Merchants Bank, China Merchants Fund has not captured much dividend from this advantage.

Sources close to China Merchants Fund indicated that although China Merchants Bank is the company's major shareholder, China Merchants Fund has not over-relied on its channel advantages. The source pointed out that China Merchants Bank's proportion in its business is far below the industry-common level of over half, thanks to the company's multi-channel development strategy. Therefore, shareholder support is more reflected in brand endorsement rather than channel dependence.

The source also emphasized that because China Merchants Bank is a leading channel in the wealth management market, all market products compete for access, with extremely strict screening standards, making "entry into China Merchants Bank's whitelist quite difficult." The entire fund distribution industry also faces channel transformation, with one bank-affiliated fund industry professional noting that "it's no longer the banks' world - Ant and Tiantian Fund have long surpassed banks to become fund companies' largest distribution channels."