| scope of investment |
The investment scope of the Fund is financial instruments with good liquidity, specifically stocks (including SMEs, GEM and other legally issued and listed stocks), stock index futures Bonds (including treasury bonds, central bank bills, financial bonds, local government bonds, corporate bonds, short-term financing bonds, ultra short-term financing bonds, medium-term notes, subordinated bonds, convertible bonds), inter-bank certificates of deposit, bond repurchase, bank deposits (including negotiated deposits, time deposits, call deposits), asset-backed securities Treasury bond futures and other financial instruments permitted by laws and regulations or the CSRC to be invested by the Fund (subject to the relevant provisions of the CSRC). If laws and regulations or regulatory authorities allow the fund to invest in other varieties in the future, the fund manager may include them into the investment scope after performing appropriate procedures. |
| investment strategy |
The Fund will, within the investment scope agreed in the Fund contract, based on the research on macroeconomic and monetary policy trends, comprehensively analyze domestic and foreign macroeconomic trends, interest rate trends, yield curve change trends, credit risk changes and other factors, and combine the valuation level, expected returns and expected risk characteristics of various fixed income assets under specific economic situations, Determine the duration level, term structure and asset allocation ratio of the portfolio on the premise of complying with the relevant investment proportion provisions of the Fund. 1. Stock investment strategy The Fund may appropriately participate in equity asset investment. The equity investment of the Fund mainly adopts the "bottom-up" investment strategy and selects high-quality enterprises for investment. On the basis of industry analysis, the fund manager selects the stocks of listed companies with sound governance structure, stable operation, good performance, sustainable growth prospects or undervalued value, and buys them at reasonable prices for medium and long-term investment. The Fund's stock investment specifically includes the process of industry analysis and allocation, evaluation of the Company's financial situation, value evaluation, stock selection and portfolio optimization. The Fund will focus on screening and allocation of stocks with stable performance growth, high dividend yield and abundant cash flow, and pursue long-term stable appreciation of stock portfolio on the premise of risk control. 2. Bond investment strategy (1) Duration adjustment strategy The Fund will, based on its judgment of future market trends, flexibly adjust the duration of the portfolio in order to achieve higher returns and reduce market volatility risks. (2) Yield curve strategy Under the condition that the portfolio duration is determined, based on the judgment of the term structure of future market interest rates, bullet strategy, dumbbell strategy or trapezoid strategy are selected to determine the allocation proportion of bonds with different maturities, and profit from the relative changes in the yield curve. (3) Allocation strategy of bond category According to the yield margin analysis between different bond sectors such as interest rate bonds, industrial credit bonds and urban investment bonds, we can predict future changes in market preferences, increase the holdings of bonds with relatively low value, and reduce the holdings of bonds with relatively high value, so as to obtain excess returns. (4) Ride Strategy On the premise of little change in the form of the yield curve, by analyzing the spread of each term of the yield curve, buy the maturity bonds corresponding to the steepest part of the yield curve. With the extension of the time the fund holds bonds, the remaining maturity of the bonds will shorten and the yield to maturity will decline. The fund can obtain the spread income while obtaining the coupon income. (5) Relative value strategy The relative value strategy includes studying the credit spread between national debt and financial debt, and the market spread between exchanges and banks. The interest margin between financial bonds and national debt is formed by tax factors, and the size of the interest margin is mainly determined by the phased demand preference of different investors in the market. With the change of the market, there may be some arbitrage opportunities between different varieties. (6) Credit spread strategy Affected by economic fluctuations and changes in the enterprise's life cycle, as well as changes in market risk appetite, the relative interest margin between credit bonds and interest rate bonds, and between bonds of different credit grades will fluctuate. Managers can take the initiative to adopt relative spread investment strategies and adjust the position proportion of different credit rating varieties in the portfolio through internal and external rating, spread curve research and economic cycle judgment. (7) Leverage strategy In the market with low capital interest rate, the bonds held in the underlying portfolio are used for repurchase to enlarge the rolling operation of short-term funds, so as to obtain more carry interest income. At the same time, it also enlarges the risk exposure, and selects the varieties with appropriate maturities between exchanges and banks to carry out investment spread income. (8) Convertible bond investment strategy Convertible bonds are different from ordinary corporate bonds. Their investors have the right to convert shares and sell them back under certain conditions, so their theoretical value is equal to the basic value of ordinary bonds plus the value of the implicit option of convertible bonds. The Fund invests in convertible bonds, with the main objective of reducing the downside risk of the Fund's net value and improving the income potential of the Fund's assets. 3. Investment strategy of stock index futures The Fund's stock index futures investment takes hedging as the main purpose, fully considers the profitability, liquidity and risk characteristics of stock index futures, optimizes asset allocation, and invests cautiously to reduce the overall risk of the portfolio and achieve the goal of hedging. 4. Investment strategy of treasury bond futures The main purpose of the Fund's investment in treasury bond futures is hedging. Combining the profitability and liquidity of the treasury bond trading market and futures market, the Fund conducts hedging operations through long or short hedging and other strategies to reduce the overall risk of the investment portfolio and obtain excess returns. 5. Investment strategy of asset-backed securities The Fund's investment in asset-backed securities will comprehensively use active strategies such as duration management, yield curve, individual bond selection and market trading opportunities. On the basis of strict compliance with laws and regulations and fund contracts, through credit research and liquidity management, the Fund will select varieties with higher relative value after risk adjustment to invest in order to obtain long-term stable income. |