On August 29th, fund manager Zhao Bei, known as the "ICBC Credit Suisse Leading Lady," released the mid-year 2025 reports for her managed funds. Zhao Bei currently oversees ICBC Healthcare, ICBC Frontier Medical, ICBC Pension Industry, and ICBC Growth Select funds, with a combined assets under management of 16.428 billion yuan. Among these, ICBC Frontier Medical exceeds 10 billion yuan in scale, with Class A shares at 9.33 billion yuan and Class C shares at 1.26 billion yuan.

During the reporting period, ICBC Frontier Medical Stock Fund Class A shares achieved a net asset value growth rate of 15.58%, while the benchmark return was 2.17%. Class C shares recorded a net asset value growth rate of 15.26%, with a benchmark return of 2.17%.

ICBC Frontier Medical primarily holds A-share pharmaceutical stocks. As of the end of Q2, the fund's top ten holdings included Hengrui Medicine (600276.SH), Kelun Pharma (002422.SZ), Sinlitai (002294.SZ), Haisco Pharmaceutical (002653.SZ), BeiGene (688235.SH), Xinnovis (300765.SZ), Zai Lab Pharma (688266.SZ), WuXi AppTec (603259.SH), East China Medicine (000963.SZ), and RongChang Biopharmaceuticals (688331.SH).

Among these, RongChang Biopharmaceuticals was a new addition to the top ten holdings in Q2, while Yuyue Medical exited the list. In terms of chemical pharmaceutical holdings, Zhao Bei increased positions in Kelun Pharma, Haisco Pharmaceutical, and East China Medicine during Q2, while reducing holdings in Sinlitai and Zai Lab Pharma.

ICBC Growth Select Mixed Fund primarily focuses on Hong Kong-listed healthcare stocks. During the reporting period, the fund's Class A shares achieved a net asset value growth rate of 34.63%, compared to a benchmark return of 4.06%. Class C shares recorded a net asset value growth rate of 34.23%, with a benchmark return of 4.06%.

In terms of portfolio adjustments, as of the end of Q2, INNOVENT BIO (01801), Sinlitai, ZAI LAB (09688), and Simcere Pharmaceutical (02096) newly entered the top ten holdings of ICBC Growth Select Mixed Fund, while Tencent Holdings (00700) and SMIC (00981) exited the top ten holdings.

In her mid-year report, Zhao Bei noted that during the reporting period, she continued to increase allocation to innovative drug companies with strong R&D capabilities and products with overseas potential, while reducing holdings in some small-cap innovative drug companies that had experienced excessive short-term gains and valuation premiums.

She attributed the outperformance in the first half of the year primarily to significant overweighting in the innovative drug sector. With substantial gains in the innovative drug sector in the secondary market and positive policy support, the sector is gradually transitioning from expectation inflection points to order inflection points. Therefore, she increased allocation to some upstream research companies during the first half.

Additionally, she expects that medical equipment companies may experience an inflection point starting from the second half of 2025.