Li Wenliang, Southern Fund: Balanced asset allocation can be achieved through FOF in 2022

2022-06-03 0 By

China Securities Journal · China Securities Network China Securities Network news (reporter Yu Shipeng) On the beginning of the Year of the Tiger, the head of the Southern Fund FOF investment Department Li Wenliang announced the New Year investment outlook.Li Wenliang said that in 2021, the structure of the equity market is significantly differentiated, so that investors generally feel that it is more difficult to invest.The FOF category has been increasingly recognized by the market due to its advantages of low net value volatility and high positive return ratio in 2021, and has gradually become a better choice for investors to allocate assets.Looking ahead to 2022, the rotation of major categories of assets in the capital market and the rotation of all industries within the equity may continue to be relatively fast. Investors need to keep a stable attitude to deal with it, and they can realize decentralized and balanced asset allocation more through FOF.Mr Li noted that future interest rate hikes and balance-sheet shrinking by the Us Federal Reserve were unlikely to constrain domestic monetary easing.The misalignment of Monetary policies in China and the US is caused by the unsynchronization of macroeconomic cycles in the two countries. The current development of domestic economy needs to increase liquidity supply. Moreover, China has sufficient foreign exchange reserves and high interest rate protection between China and the US, which also gives China the confidence of “self-centered” monetary policy independence.If growth stabilization measures lead to a gradual stabilization of the economy, there is little room for a sharp decline in the equity market.Looking into the long-term value of equity investment, Li Wenliang pointed out that, thanks to the leeway provided by China’s super-large market and the large reserve of stable growth toolbox, China’s per capita GDP is expected to gradually approach that of developed economies, thus providing opportunities for a substantial expansion of GDP.Therefore, the long-term expected return rate of A shares with moderate static valuation and H shares with low valuation is still considerable. Industrial transformation and transformation during this period can also provide more structural growth potential, and bottom-up opportunities are still worth exploring.In addition, the major asset allocation direction of household wealth is gradually shifting from physical assets to financial assets, and the incremental long-term allocation funds flowing into the equity market are still predictable.In general, we are still optimistic about the allocation value of the equity market. Unless the short-term sentiment is too high, we need to rebalance and reduce the allocation ratio of equity assets, while the sharp decline of the equity market should remain optimistic.Among them, the breeding industry is about to experience a difficult period of industry-wide losses and capacity reduction. From the perspective of the cycle recovery of the left layout, it will be the main line with higher certainty this year.Wen-liang li pointed out that as managers’ investment in the stock of debt ratio under the background of a more balanced, will adhere to the surrounding performance benchmark to consider the dynamic asset allocation, and adhere to the “core – satellite” the configuration of the train of thought, on the whole maintained industry configuration is balanced, timely appropriate structural business chance, avoid excessive dependent on a single asset or a single industry,Avoid excessive fluctuation of net worth and damage to customer holding experience.