Sticking to "old economy stocks" or betting wrong on growth stocks could both lead to underperforming fund returns.

"The A-share market has reached 3,800 points. Has your fund broken even?" As the bullish atmosphere intensifies, many fund investors are discussing not what to buy, but when to redeem their investments. According to iFinD statistics, as of September 23 this year, the total scale of the public fund market has climbed from 31.6 trillion yuan at the end of September 2024 to 34 trillion yuan, with equity funds, bond funds, QDII funds, FOF funds, and REITs all showing significant year-over-year growth in both shares and scale.

Amid this "celebratory" atmosphere, hybrid funds became the only category to see year-over-year declines in both shares and scale. As of September 23, the total shares of 4,757 hybrid funds in the market stood at 2.8 trillion shares, with combined net asset value of 3.25 trillion yuan, representing decreases of 10% and 7% respectively compared to the end of September last year. The proportion of hybrid funds' total scale in the public fund market also dropped from 11.12% at the end of September last year to the current 9.56%.

However, hybrid funds' performance over the past year has not been disappointing. iFinD data shows that as of September 23, among over 8,000 hybrid funds, 7,990 posted gains, accounting for over 99%. The average return rate for all hybrid funds was 47.64%, ranking second among all fund categories.

The fundamental reason for excellent performance yet being "sold more as prices rise" is that active equity funds' performance during the nearly four-year bear market left deep "traumatic memories" for fund investors. As one investor posted on social media: "Although I expect further gains, I redeemed without hesitation because I never want to experience being trapped again."

**Sticking to "Old Economy Stocks" Led to Missing the Rally**

iFinD data shows that since the 924 rally began, over 99.38% of active equity funds have achieved positive returns, with nearly 700 products doubling in performance (counting different share classes separately), maximizing the wealth effect.

After a year of ups and downs, Deben Xinxing Value Flexible Allocation Hybrid A became the "champion fund" on the 924 one-year anniversary with a return rate of 280.31%. This product changed fund managers eight times from its establishment in 2015 until early 2024, but performance remained mediocre. It wasn't until Lei Tao and Lu Yang jointly took over the product in January 2024 and quickly switched heavy holdings from previous pharmaceutical sectors to telecommunications and electronics that the product's net value curve began to "take off" starting in April this year.

As of the end of the second quarter this year, the product's top ten heavy holdings were Victory Giant Technology (300476.SZ), Everprox Technologies (300548.SZ), T&S Communications (300570.SZ), Wus Printed Circuit (002463.SZ), Shengyi Electronics (688183.SH), Eoptolink Technology (300502.SZ), Wuxi Taclink Optoelectronics Technology (688205.SH), Yuanjie Semiconductor Technology (688498.SH), Huagong Tech (000988.SZ), and Optowide Technologies (688195.SH).

Products investing in the Beijing Stock Exchange also achieved impressive performance over the past year. Taking CITIC Construction Investment BSE Select Two-Year Lock-up Hybrid A as an example, as of September 23, the fund's adjusted unit net value growth rate within one year reached 263.38%.

Additionally, the robot sector that was hot at the beginning of this year has seen another wave of gains recently, boosting funds investing in this sector. For example, Yongying Advanced Manufacturing Smart Selection Hybrid achieved a return of 253.12% over the past year. Zhang Lu, who manages this product, strongly supported the humanoid robot industry in the second quarter report: "We firmly believe that the humanoid robot sector is a major beta opportunity for the next 10 years. Its brilliant debut is far more than just freeing up hands - it will comprehensively empower human life through both emotional companionship and physical support."

Beyond these rising funds, iFinD data shows that a total of 20 funds posted negative returns during the 924 year (taking Class A for different share classes), accounting for only 0.62%. What did these products buy?

After excluding products established for less than a year, East Money Value Startup Hybrid A currently ranks at the bottom with a performance of -10.11%. iFinD data shows that at the beginning of 2025, this product was heavily weighted in resource stocks for a long period, such as Cmoc Group (603993.SH), Zijin Mining Group (601899.SH), and Western Mining (601168.SH). After fund manager Luo Shen took over at the beginning of this year, the style began to change, gradually shifting toward growth sectors. However, he failed to capture the hottest semiconductor and AI computing industries, instead focusing on low-altitude economy and unmanned logistics themes, heavily weighting Chengdu Jouav Automation Tech (688070.SH), Nanjing Les Information Technology (688631.SH), and Deppon Logistics (603056.SH), leading to unsatisfactory results.

Most other funds that failed to help investors "profit" over the past year were products that held onto "old economy stocks." So-called "old economy stocks" refer to stocks representing traditional industries such as liquor, real estate, and coal, characterized by large market capitalization and low price elasticity.

Taking the currently second-worst performing Guolian Smart Selection Hedging Strategy Three-Month Open as an example, this fund's top ten heavy holdings have been almost entirely "old economy stocks" since the end of the third quarter of 2024. As of the end of the second quarter this year, the top ten heavy holdings were Kweichow Moutai (600519.SH), Contemporary Amperex Technology (300750.SZ), China Merchants Bank (600036.SH), Ping An Insurance (601318.SH), China Yangtze Power (600900.SH), Industrial Bank (601166.SH), Citic Securities (600030.SH), Industrial And Commercial Bank Of China (601398.SH), Zijin Mining Group (601899.SH), and Bank Of Communications (601328.SH).

More embarrassingly, this fund's performance benchmark is "the one-year time deposit benchmark interest rate (after tax) announced by the People's Bank of China + 2%," but according to the fund's interim report, the product's net value growth rate in all periods underperformed this benchmark, lagging behind by over 23% since its establishment in April 2020.

**Bull-Bear Transition: Which Products Really Withstood the Test?**

Taking a longer timeline, which products are truly the "masters" of navigating bull and bear markets? We analyzed fund product performance from January 1, 2021, to September 23, 2025, excluding products established within this period.

Data shows that 1,995 products achieved positive returns during this period, accounting for 52%, with 57 funds doubling their returns over the past four-plus years.

The best performer was Dongwu Mobile Internet Hybrid A managed by Liu Yuanhai of Dongwu Fund, with a return rate of 259.39% from the beginning of 2021 to now. Dongwu New Trend Value Line Hybrid and Dongwu Jiahe Advantage Select Hybrid A, also managed by Liu Yuanhai and established before 2021, achieved return rates of 253.39% and 72.67% respectively during the same period.

Notably, all three products became "doubling funds" within the year after the 924 rally began.

Looking at Dongwu Mobile Internet Hybrid's heavy holdings, Liu Yuanhai began "ambushing" opportunities in semiconductors, computer innovation, and other growth sectors as early as the second half of 2022, started focusing on AI opportunities in 2023, and concentrated on AI computing power, automotive intelligence, and AI hardware in the first half of this year.

As of mid-year, Dongwu Mobile Internet Hybrid's top ten heavy holdings were Zhongji Innolight (300308.SZ), Eoptolink Technology, Wus Printed Circuit, Omnivision Integrated Circuits Group (603501.SH), China Wafer Level Csp (603005.SH), Huizhou Desay Sv Automotive (002920.SZ), Luxshare Precision Industry (002475.SZ), Victory Giant Technology (300476.SZ), Zhejiang Crystal-Optech (002273.SZ), and Ningbo Tuopu Group (601689.SH).

The fund called "divine fund" by investors, Jinyuan Shun'an Yuanqi Flexible Allocation, achieved an adjusted unit net value growth rate of 221.93% since 2021, ranking third. Unlike Liu Yuanhai, Miao Weibin, who manages this product, maintains very diversified positions, conducting major "overhauls" of the top ten heavy holdings almost every quarter, rarely featuring currently popular market stocks.

As of the end of the second quarter this year, the product's top ten heavy holdings were Jiangsu Yuxing Film Technology (300305.SZ), China Testing&Certification International Group (603060.SH), Jinling Hotel (601007.SH), Sinoma Energy Conservation (603126.SH), Fujian Haixia Environmental Protection Group (603817.SH), Shenzhen Ellassay Fashion (603808.SH), Shanghai Baosteel Packaging (601968.SH), Shenzhen Cereals Holdings (000019.SZ), Hainan Jingliang Holdings (000505.SZ), and Guangxi Nanning Waterworks Group (601368.SH).

Unfortunately, this fund has been "closed to new investors" since August 2022, preventing many investors from enjoying its high returns.

While some funds withstood four years of volatility, others left investors in losing positions after more than four years of investment. According to the aforementioned screening criteria, as of September 23, over 1,800 funds still had negative adjusted unit net value growth rates over the past four-plus years, with 414 having return rates below -30% since the beginning of 2021. Among these 400-plus products, 48 had return rates below -50%.

Tianzhi New Consumption Hybrid had a return rate of -64.72% from the beginning of 2021 to now, ranking last among the over 3,000 products meeting the screening criteria. Despite being named "New Consumption," this product's heavy holdings have long rotated among traditional consumption sectors like liquor and home furnishings. Since the beginning of this year, it switched all heavy holdings to the pharmaceutical sector, but due to failing to capture soaring innovative drug stocks, its gains this year were only 5.86%.

Li Shen, also a fund manager at Tianzhi Fund, managed three products with return rates all below -40% since 2021, two of which were below -60%. Looking at the heavy holdings of the worst-performing Tianzhi Transformation Upgrade Hybrid, this product focused heavily on food and beverage and biomedicine industries in 2021, made large investments in real estate stocks in 2022-2023, and then turned to public utilities and power equipment after 2024.

The fund's interim report shows that as of mid-year, this product's return rate over the past three years was -45.45%, with excess return of -36.99%, and assets under management of only over 3 million yuan.

Additionally, although the innovative drug sector once "dominated" with gains this year, due to the pharmaceutical sector's previous significant decline, multiple pharmaceutical-themed funds are still on a long road to net value recovery. For example, Qianhai Open Source Medical Health A achieved a return rate of 65.76% over the past year as of September 23, but its return rate from 2021 to now was -54.09%, meaning investors who bought at the peak still face a long road to "break even."