Since 2026, the yield on 10-year government bonds has declined to around 1.75%, reducing the appeal of traditional fixed-income assets such as bank wealth management products and large-denomination certificates of deposit. As relying solely on coupon accumulation becomes insufficient to meet expectations for enhanced returns, a key concern for investors is how to achieve long-term stable returns within a manageable range of net value fluctuations by allocating assets with different risk-return profiles.

Against this backdrop, starting July 13th, the GF Yueyi Multi-Asset Stable Three-Month FOF (Class A: 027496, Class C: 027497) will be officially launched across various channels, including Bank of China and GF Fund's direct sales platform, as part of Bank of China's "Smart Investment Plan" series.

New Offering from the "Smart Investment Plan" Provides One-Stop Solution

By the end of May 2026, the number of publicly offered funds had exceeded 14,000, far surpassing the number of A-share listed companies, making fund selection as challenging as stock picking. In this context, Bank of China has collaborated with public fund management institutions to launch the "Smart Investment Plan," aiming to provide investors with a one-stop asset allocation solution.

Based on different position levels and risk exposures, the "Smart Investment Plan" has established four product lines: Huiwen (Ultra-Low Volatility), Huiying (Low Volatility), Huili (Medium Volatility), and Huiyi (High Volatility). Selected products have clear positioning and objectives, dedicated to offering more suitable choices for wealth management catering to different risk appetites. The GF Yueyi Multi-Asset Stable Three-Month FOF has been approved for inclusion due to its clear positioning as a low-volatility "fixed-income plus" strategy product.

This product is positioned as a bond-biased hybrid FOF. It allocates 5% to 30% of its fund assets to equity assets (with investment in Hong Kong Stock Connect eligible stocks comprising 0% to 50% of the equity portion). Investments in QDII funds and Hong Kong mutual recognition funds account for 0% to 20% of the fund's assets. This allocation range for equity assets and QDII funds provides a relatively ample safety cushion from the fixed-income base while retaining flexibility to moderately capture structural opportunities in the equity market.

The fund's prospectus indicates that the performance benchmark for the GF Yueyi Multi-Asset Stable Three-Month FOF is "ChinaBond Composite Total Price Index Return × 82% + CSI 300 Index Return × 7% + Hang Seng Index Return × 3% + Shanghai Gold Exchange Au99.99 Spot Contract Price Return × 3% + Demand Deposit Benchmark Interest Rate × 5%." The product encompasses multiple assets including domestic bonds, A-shares, Hong Kong stocks, and gold, expanding the allocation perspective across asset classes and regions, aiming to smooth portfolio volatility by leveraging the low correlation between different assets.

Platform Integration Support with Veteran FOF Manager at the Helm

Public information shows that the proposed fund manager, Yang Zhe, currently serves as the General Manager of the Asset Allocation Department at GF Fund. She possesses 18 years of experience in the securities industry and 13 years of investment management experience, with a long-term focus on the "fixed-income plus" and FOF fields. In managing FOF products, she emphasizes a combination of quantitative and fundamental methods for asset allocation and fund selection, integrating risk management throughout the entire investment process to build cost-effective fund portfolios.

Historical data indicates that several FOF products managed by Yang Zhe have generally demonstrated favorable risk-return ratios. Taking the GF Anteng Stable 6-Month FOF, which she has managed for a relatively long period, as an example, the product has achieved positive annual returns every year since its inception (2023-2025). Over the past three years, its maximum drawdown ranked 4th among its peers, and its Calmar ratio ranked 3rd. (Past performance does not guarantee future results; investment involves risks.)

In terms of platform support, GF Fund has over a decade of investment research practice in the asset allocation field, having established a collaborative research system spanning macro strategy, equities, fixed income, and overseas markets. Within the Asset Allocation Department led by Yang Zhe, the team has established specialized groups based on major asset classes and strategy modules. These groups are responsible for in-depth research in areas such as macroeconomics and asset comparison, equity assets, bond assets, commodities, and alternative assets. Through refined division of labor and efficient internal collaboration, the team aims to deeply explore asset value and comprehensively capture market opportunities.

Looking ahead to the second half of 2026, Yang Zhe believes that from the perspective of relative valuation among major asset classes, the attractiveness of allocating to equity assets is increasing. Incorporating assets with low correlation, such as equities and gold, into a portfolio is one way to enhance the overall risk-return efficiency. The launch of the GF Yueyi Multi-Asset Stable Three-Month Holding Period FOF (Class A: 027496, Class C: 027497) can help investors moderately participate in multi-asset opportunities on top of a fixed-income foundation, achieving cross-asset allocation in a disciplined manner.

Note: This fund is a fund of funds, investing in various publicly offered funds approved or registered by the China Securities Regulatory Commission. It will face risks specific to fund investments, including fund company management and operational risks, fund investment risks, net value fluctuation risks due to large-scale redemptions, risks associated with investing in QDII funds and Hong Kong mutual recognition funds, risks of investing in commodity funds, risks of investing in listed-traded funds, and risks of investing in public REITs, among others. Investors must hold each subscription unit for at least three months before redemption is possible. The fund invests in overseas securities markets and, in addition to general investment risks similar to those of domestic securities investment funds, also faces specific investment risks such as exchange rate risk and differences in trading rules. Investors should carefully read the fund's contract, prospectus, and other legal documents to fully understand the fund's details and risk characteristics. This fund is a hybrid fund of funds; its expected returns and risk level are higher than those of money market funds and bond funds but lower than those of equity funds. Past performance does not predict future results. Investment involves risks; caution is advised.