(Original title: 157.5 billion yuan in dividends from public funds during the year hit a record high for the same period in history)
Since the beginning of this year, the equity and bond markets have both fluctuated. Benefiting from the good profitability market last year, the dividends of public funds were very generous. During the year, the cumulative dividends of 157.486 billion yuan were increased by more than 40% year-on-year, a record high for the same period in history. Among them, equity funds contributed half. The above dividend amount replaces the debt base as the main dividend.
Industry insiders interviewed believe that fund dividends are not only the content of the fund contract, but also one of the ways to redeem fund performance. The good earning effect provides the fund with a basis for dividends. In the case of market turbulence and unclear market conditions, through dividends, the fund can lock in income and protect the interests of investors.
The main force of equity fund constituents
Equity funds are actively cashing out returns, which has boosted the scale of fund dividends to a new high. Wind data shows that as of August 6, a total of 1,859 funds have distributed dividends this year, with a total amount of 157.486 billion yuan, an increase of 41.37% over the same period last year.
Among them, there were 445 hybrid funds that distributed dividends, with a total amount of 73.471 billion yuan, 58 stock funds distributed 12.631 billion yuan in dividends, and the two types of funds distributed a total of 86.102 billion yuan in “red envelopes”, accounting for 54.67%. In addition, 1,336 bond funds distributed 68.316 billion yuan in dividends, accounting for 43.38%. Compared with the same period last year, bond fund dividends amounted to 62.804 billion yuan, accounting for nearly 60%.
Equity funds carry the banner of dividends. Market participants in a large fund company in South China stated that active equity products have yielded good returns in the past two years, laying the foundation for dividends. The net value of equity funds has skyrocketed last year, and the scale of many funds has soared. Some funds are also willing to cash out a portion of their returns to investors. “Active equity products usually set regular dividends clauses, which objectively promotes the increase in total dividends.”
Dividends from high-performance and top fund companies are even more generous. E Fund’s funds have reached 10.118 billion yuan in dividends this year, ranking first; ABC-CA Fund and China Europe Fund’s products have also distributed more than 8 billion yuan in dividends during the year. In addition, China Southern Fund, Guangfa Fund, Wells Fargo Fund, Harvest Fund, Invesco Great Wall Fund are also big dividend payers.
Dividends from a single fund
Up to 7.4 billion yuan
In addition to the sharp increase in total dividends, many funds have seen large dividends of “local tyrants”, with a maximum of more than 7.4 billion yuan, and products managed by star fund managers occupy the forefront of the dividend list.
In terms of the number of dividends, Baoying’s core advantage is the most, as many as 12; China Return, China Return No. 2, Wells Fargo State-owned Enterprise Bond A/B has 8 dividends during the year, Harvest Ultra-short Debt, Bo Shi Yuying, etc. 10 Only the number of fund dividends reached 7 times.
From the perspective of the amount of dividends paid by a single fund, 22 funds have paid more than 1 billion yuan in dividends this year, and the vast majority are active equity funds. However, topping the list of single fund dividends is a medium- and long-term pure debt fund-ABC-CA Jinsui, which distributed two dividends during the year with a total of 7.471 billion yuan.
The China Europe Times Pioneer A managed by Zhou Yingbo followed closely with a dividend of 3.706 billion yuan and became the “most generous” equity fund during the year. E Fund Value Selection managed by Ge Qiushi was also generous, and dividends were distributed 4 times during the year, with a total of 2.651 billion yuan. As an old product established in 2006, the return of E Fund Value Selection has exceeded 7 times since its establishment.
Wanjia Youyou managed by Huang Xingliang and Invesco Great Wall Emerging Growth managed by Liu Yanchun have also distributed more than 2 billion yuan in dividends this year. Zhang Kun manages E Fund’s small and medium-sized caps with a single dividend of up to 1.9 billion yuan. GF Jufeng A managed by Qiu Jingmin and GF Steady Growth A managed by Fu Youxing also paid more than 1.5 billion yuan in dividends. Liu Gesong’s GF small cap and Zhu Shaoxing’s representative fund, Fu Guo Tianhui, have distributed more than 1 billion yuan in dividends.
In terms of the dividend ratio of a single fund, except for E Fund’s small and medium-cap mixed dividends of 9 yuan per 10 fund shares, Qianhai Joint Research Selection, Golden Eagle Yuan and flexible configuration, Penghua Power Growth, Everbright Prudential Dividend Hybrid, Hongde More than 20 funds, including Honghua Hybrid, Yinhua Leading Strategy, and Galaxy Industry Choice, have dividends of more than RMB 5 per 10 fund shares.
Multi-factors promote the fund’s generous dividends
Regarding the large-scale dividends of public offerings, a public offering product department in Shenzhen said that the increase in the total size of public offerings is an important factor driving the increase in the amount of dividends. In addition, valuations of some popular sectors have reached a better level after the previous rise. If the fund manager wants to increase the product position, but does not want to continue to buy to expand the risk exposure, he can adopt the method of dividends to passively increase the position. Another possibility is that due to the stock market volatility this year, funds are facing greater redemption pressure, and fund companies hope to retain investors through dividends.
“Fund dividends are one of the operating methods for portfolio managers to manage fund positions.” The above-mentioned product department person said, “If the fund manager thinks that the recent market is not optimistic, but cannot directly sell the holdings or significantly reduce the position, at this time Fund managers will use dividends to reduce fund costs, so as to reduce the magnitude of fund losses when stocks fall.”
In response to the active dividend distribution of highly popular fund managers, a public equity market person in Shenzhen believes that star fund managers have a strong halo effect. In the past two years, with the rise of Internet e-commerce platforms, funds have been concentrated more quickly to star fund managers and leading companies with outstanding long-term performance. It is easy to form a winner-takes-all situation. “With the rapid expansion of the scale of the fund, the difficulty of fund operation will increase. At this time, the fund company uses the method of net value conversion to extract part of the fund’s profit and return it to investors. On the one hand, it can reduce costs, and the total assets of the fund will not It will not change.”
The above-mentioned people said that although the dividends of the funds do not have much substantial benefits to ordinary investors, under the background of market turbulence and unclear market conditions, the funds that implement the dividends have avoided the expansion of losses by locking in the income in advance. For investors, funds that hold generous dividends can make profits in time, keep their profits, and avoid losses caused by the continued decline in the market.
(Edit: Wen Jing)
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