Under the involution of the public offering industry, the risk of "unemployment" faced by fund managers may not be poor performance, but too small management scale. So do you know what it's like to have several funds liquidated? The following small series has compiled the liquidation analysis of many funds for everyone. I hope you like it!
Liquidation analysis of several funds
Due to the frequent liquidation of small and medium-sized fund companies, many fund managers will face the embarrassment of "no foundation to manage". On February 23, after the announcement of a paper liquidation, a domestic public investor noticed that he may have entered the state of "unemployment" in the position of fund manager. At present, the company has not hired him as a fund manager of other public offerings. Previously, after the liquidation of fund products was terminated, the fund manager quickly left.
Excellent fund managers become "one-man army"
Beixin Ruifeng Fund Company announced on February 23 that according to the Fund Law, Fund Contract and other relevant regulations, Beixin Ruifeng Huafeng Flexible Allocation Fund has triggered the termination of the fund contract, and Beixin Ruifeng Fund Management Co., Ltd. should terminate the fund contract after the above termination and perform the fund property liquidation procedures according to law. The final operation date of Beixin Ruifeng Huafeng Flexible Allocation Fund is February 22, 2022, and it will enter the liquidation procedure on February 23, 2022.
After the above-mentioned related fund products enter the liquidation procedure, it also means that Lu Ping, the fund manager of Beixin Ruifeng Huafeng Flexible Allocation Fund, has entered the "unemployed" state. Up to now, Beixin Ruifeng Fund Company has not hired Lu Ping as the fund manager of other public offerings.
According to the prospectus of the fund, Lu Ping was the deputy general manager of the R&D department of China Merchants Securities. In April, 2020, he joined Beixin Ruifeng Fund Management Co., Ltd., and then began to work as Public Offering of Fund manager in Beixin Ruifeng as the fund manager of two funds.
The first Public Offering of Fund product managed by Lu Ping was Beixin Ruifeng Xingrui Flexible Allocation Fund. Lu Ping became the fund manager of the Fund on 2021100612. Two and a half months later, the Fund was liquidated on 202210/8. At this time, only Beixin Ruifeng Huafeng Flexible Allocation Fund is left in the funds managed by Lu Ping. Unexpectedly, the fund also triggered the termination of the fund contract because of its small scale.
In a short period of one month, the products of the two funds under management have been liquidated and terminated one after another, which also means that Lu Ping, the fund manager of the fund, has actually entered a state of "unemployment".
It is noteworthy that Lu Ping's performance during his tenure as a fund manager was excellent. The Beixin Ruifeng Xingrui distribution fund he managed lasted for 98 days from taking office to the termination of fund liquidation, during which the cumulative rate of return was 5.28%. The flexible allocation fund of Beixin Ruifeng Huafeng managed by Lu Ping has a total duration of 1 19 days and a cumulative yield of 3 1.98%.
Liquidation brings the risk of "unemployment" to fund managers.
In fact, many fund managers face the risk of "unemployment" because of their size rather than their performance.
On February 23rd, Debon Fund Company issued an announcement reminding Debon to quantitatively optimize the equity securities investment fund for 40 consecutive working days, and the net asset value of the fund has been less than 50 million yuan, which may trigger the termination of the fund contract. The announcement emphasizes that according to the provisions of the Fund Contract, if the number of fund share holders is less than 200 or the net asset value of the fund is less than 50 million yuan for 60 consecutive working days after the fund contract comes into effect, the fund manager should enter the liquidation procedure and terminate the fund contract according to the fund contract, and there is no need to convene a fund share holder meeting. It is reported that the net asset value of the fund has been less than 50 million yuan for 40 consecutive working days.
Wu Zhipeng is the fund manager of Debon's quantitative optimization stock fund. In mid-August last year, another fund he managed, Debon Quantitative Sharp Fund, was terminated due to its small scale. In addition, Wu Zhipeng also manages Debon Yumin Aggressive Quantification, Debon Quantitative Hedging, Debon G60 Composite Index Enhancement Fund and many other products. Although there are many fund products under management, each one is very small. In fact, Debon Yumin Aggressive Quantification also issued a prompt that may trigger the termination of fund contracts in April last year, which also means that many funds managed by Wu Zhipeng are at risk of liquidation and termination.
The wave of resignation of fund managers under PICC Assets is also related to the liquidation of some of its funds. China, a brokerage firm, noticed that the fund managers who left, such as Wei _ and Theway, were the fund managers of Tianyi 6-month fixed-term bond fund, Li Youchen 9-month fixed-term bond fund and Xin short-term bond fund, and all of them had been liquidated and terminated. For example, PICC Xin's short-term debt managed by Theway announced his resignation after the fund was terminated.
Obviously, the "involution" effect of the public offering industry leads to frequent termination of fund liquidation, and the wave of fund managers' resignation is also closely related to fund liquidation.
Head funds are also affected.
Obviously, the "unemployment" risk of fund managers lies not only in whether the fund performance matches the market, but also in the fact that after the public offering industry enters the state of "involution", funds continue to flow to a few core products under the head fund. This has also caused many small and medium-sized fund companies to face difficulties in making large-scale related fund products. Too small a scale may lead to further liquidation and termination risks of such fund products, which may lead to the brain drain of investment and research talents.
The data shows that since 2022, about 20 funds have announced the termination of liquidation. In 20021year, the number of fund liquidations reached 249, an increase of 40% over 2020, setting a new record in the past three years. Related to this, statistics also show that the number of fund managers leaving in 202 1 also reached a new high, with more than 300 fund managers leaving last year.
Retired fund managers and liquidated funds are concentrated in small and medium-sized public offerings to a considerable extent. However, under the effect of "involution", a similar situation began to appear in the product industry of large-scale public offering. China, a brokerage firm, noticed that among the fund companies that may trigger the termination by issuing fund products, there are also some products owned by big head fund companies.
On February 23rd and 22nd, five super-large head Public Offering of Fund companies issued risk warnings that their fund products may lead to the termination of fund contracts due to their small scale.
A large fund in the south announced on February 23rd that the effective date of the CSI Internet Index Fund contract was February 1 day, 2020, and as of February 2 1 day, 2022, its net asset value had been below 1 billion yuan for 20 consecutive working days. If the net asset value of the fund is less than 1 100 million yuan for 30 consecutive working days as of March 7, 2022, the termination of the above-mentioned fund contract will be triggered, and the fund manager will liquidate the fund according to relevant laws and regulations, fund contracts and other regulations.
Another big fund also disclosed that as of March 22, 2022, if the net asset value of its home appliance ETF fund is less than 50 million yuan for 50 consecutive working days, the fund will enter the liquidation procedure according to the fund contract.
According to the insiders, the hint that the related products of the head public offering giant may lead to the termination of the fund contract due to their small scale is enough to explain the survival status of small and medium-sized Public Offering of Fund, especially the widespread risk of fund liquidation. However, for the above-mentioned head public offering giants, the possible liquidation risk of one or two funds will not affect the career space of the relevant fund managers. This kind of head fund company has a rich product line, a large number of existing old funds and products to be launched, and a strong resource platform is enough to attract fund managers to work in other products.
The liquidation of private placement may be more deadly.
The impact of fund liquidation on fund managers may only be "unemployment" or resignation in Public Offering of Fund. In the field of private equity, it may close down or even end your career.
"If the fund is liquidated, it can only be dissolved and closed." A private equity fund manager in Shenzhen told China that the company's only private equity product was issued on 20021,and the company was also equipped with some researchers. However, in the market of 202 1, the product suffered huge losses and approached the warning line of liquidation. He stressed to reporters that at present, the fund can only do it slowly according to 30% positions. If you lose to the clearing line, the company can only dissolve all personnel. "It's a little troublesome, but it's better to do it yourself," he stressed to reporters.
There are more extreme phenomena in the liquidation of overseas markets. Last April, a top private equity fund manager on Wall Street chose to close his product one month after it was forced to liquidate. On April 26th, 20021,CharlesdeVaulx, the manager of Legendary Value Investment Fund, committed suicide by jumping off a building on the 7th17th10th floor of Fifth Street in the office of International Value Consulting Company. Charles de Vaux just turned 59, and his fund was liquidated a month ago.
Liquidation analysis of several funds;
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