Since 2025, as the capital market environment gradually stabilizes and investor allocation concepts deepen, public FOFs have experienced significant scale growth and market attention due to their product characteristics of risk diversification and volatility smoothing. Wind data shows that the total fundraising scale of public FOFs reached 84.529 billion yuan for the full year of 2025, a year-on-year increase of over 8 times, hitting a three-year high. This growth trend clearly reflects the increasingly urgent demand from investors for tools with asset allocation functions and effective volatility management against the macro backdrop of coexisting market fluctuations and low interest rates.
Looking ahead to 2026, driven by the triple factors of "wealth management migration," "pension necessity," and "tool upgrading," public FOFs are expected to continue expanding their development space and become one of the core choices in residents' asset allocation portfolios. Seizing this market opportunity, financial institutions are accelerating collaboration to respond to investor needs with more professional services. To provide clients with wealth management choices featuring clear risk-return characteristics and well-defined investment objectives, Bank of China has partnered with public fund management institutions to create a one-stop asset allocation solution—the "Smart Investment Plan." This plan has now officially launched and will join forces with the flagship product under Southern Fund's "Quality Growth Plan"—Southern Haoxin Stable Preferred 6-Month Holding Mixed (FOF) (Class A: 015421, Class C: 015422)—to collectively offer investors a broader range of stable allocation choices.
The philosophies align, constructing a service ecosystem centered on "investor returns." Although Southern Fund's "Quality Growth Plan" and Bank of China's "Smart Investment Plan" approach from product management and channel services respectively, their core orientation is highly consistent. Both fundamentally prioritize "investors' best interests" and are committed to helping investors achieve scientific multi-asset allocation through systematic services.
The "Smart Investment Plan," based on Bank of China's in-depth market research and comprehensive consideration of the risk-return characteristics of different assets and the investment demands of funds with varying time horizons, has established four product lines: Huiwen—positioned for ultra-low volatility asset combinations; Huiying—positioned for low volatility asset combinations; Huili—positioned for medium volatility asset combinations; and Huiyi—positioned for high volatility asset combinations. It rigorously selects excellent fund product managers from the entire market and, through closed-loop processes like product selection and re-examination, provides investors with clearly positioned, goal-oriented asset allocation solutions. Furthermore, grounded in multi-asset allocation theory, the "Smart Investment Plan" underlyingly covers different assets such as stocks, bonds, and commodities, utilizing various strategies like growth and dividends, striving to create a better investment experience for investors without excessively increasing risk exposure.
Southern Fund's "Quality Growth Plan" focuses on the refined management of products throughout their entire lifecycle. This plan aims to meticulously identify fund products and investment strategies that match channel and investor needs, and through full-lifecycle follow-up and refined companionship, jointly create a virtuous cycle of "stable fund performance and excellent investor experience" with partners. Currently, the "Quality Growth Plan," by providing refined cultivation throughout a product's lifecycle and offering deep companionship to investors, has gained increasing recognition from channels and investors.
The combination of these two models forms a complete service闭环, from demand insight and product supply to long-term companionship. Amid the ongoing upgrade in residents' asset allocation needs, this synergistic ecosystem of "professional investment management + precise channel services + deep client companionship" lays a solid foundation for the successful operation of products like Southern Haoxin.
The strength of the product is demonstrated by its clear strategy and stable performance, highlighting its allocation value. Southern Haoxin's ability to become the focal product of both major plans stems from its clear strategic positioning and stable performance proven by market testing, precisely meeting the current market demand for low-volatility, stable-return allocation tools.
Southern Haoxin is positioned as an ultra-low volatility FOF incorporating equity strategies, actively embracing multi-asset allocation. Specifically, it utilizes a risk parity model to determine the allocation proportions of various asset classes. The risk asset portion primarily consists of domestic and international stocks, gold, and convertible bonds, constructing a multi-strategy, multi-revenue-source ultra-low volatility FOF. Its investment approach involves building a portfolio with short-term bond funds as the base + medium/long-term bonds (absolute return target), primary bond funds + secondary bond funds (style diversification, return enhancement) + risk asset enhancement (domestic/international stocks, gold, convertible bonds).
Excellent performance validates the effectiveness of the strategic allocation. According to the freshly released fourth-quarter report, as of the reporting period end, the net asset value per share for Southern Haoxin Class A was 1.0635 yuan. During the reporting period, the share's net value growth rate was 0.47%, compared to the performance benchmark growth rate of 0.12% for the same period. The net asset value per share for Southern Haoxin Class C was 1.0499 yuan, with a share net value growth rate of 0.37% during the reporting period, against the benchmark's 0.12%.
The product is steered by a dual leadership team, with synergistic support from team backing and systematic management. Behind an excellent product lies management by a professional team. Southern Haoxin is jointly managed by Li Wenliang, General Manager of the FOF Investment Department at Southern Fund, and fund manager Wang Qingzhou.
Li Wenliang possesses 13 years of domestic and international investment research experience and 7 years of domestic and international FOF portfolio investment experience. This includes experience managing overseas US 401K pension fund portfolios and managing live domestic public FOF portfolios, equipping him with both an international perspective and local expertise, particularly skilled in using quantitative models for the strategic allocation of major asset classes and setting long-term, stable asset allocation anchors for products. Wang Qingzhou has 10 years of industry experience and 7 years of investment management experience, with an insurance capital background, strictly controlling portfolio volatility, and rich experience in absolute return strategies.
According to the fourth-quarter report, Southern Haoxin maintained its investment philosophy of stable investing, with the investment goal of achieving relatively stable net value growth and a good client holding experience. Since October, the equity allocation has been reduced, maintaining a balanced-to-growth style to cope with market volatility, and the portfolio duration was lowered since December. It will continue to operate under the philosophy of stable investing, pursuing steady net value growth based on controlling drawdowns.
The stable operation of Southern Haoxin relies not only on the individual capabilities of the fund managers but is also deeply rooted in the strong systematic platform support of Southern Fund's FOF team. As an early pioneer in China's public FOF and fund advisory businesses, the Southern Fund FOF team is grounded in the company's integrated investment research platform, enabling it to fully consolidate research resources across multiple asset classes like macro, equities, and fixed income. It also inherits Southern Fund's profound experience in mixed-asset investment, particularly in hedging strategies and annuity management.
Currently, the Southern Fund FOF team has implemented comprehensive strategy layouts in business areas such as public FOFs, specialized FOF accounts, and fund advisory services, with various strategies achieving good performance in investment practice. In public FOFs and fund advisory services, clients have experienced good profitability, providing a solid guarantee for the continued stable operation of its products.
As residents' wealth management needs continue to grow and the industry's high-quality development advances, the service model centered on investor interests and featuring deep inter-institutional collaboration will continue to deepen. The organic combination of Bank of China's "Smart Investment Plan" and Southern Fund's "Quality Growth Plan," along with the practical launch of products like Southern Haoxin, is a vivid practice of this trend. In the future, with the continuous evolution of the financial industry, through the ongoing refinement of professional capabilities and the collaborative construction of service ecosystems, the public fund industry is expected to play a more important role in helping residents preserve and increase their wealth and serving the real economy.