China public funds shift to lower fees and launch three‑month holding‑period theme funds

China's public fund industry is undergoing a fee reform that has reduced the average management fee to about 0.68% and boosted the number of low‑fee products. By late July, there were 2,343 funds charging 0.15% or less, up from the start of the year, while assets under management reached a record 39.67 trillion yuan. Industry analysts say the reforms aim to cut investors' costs while encouraging fund managers to focus on long‑term performance, research capability and investor service rather than sheer scale.

At the same time, the first batch of theme funds with a three‑month holding requirement are being filed with the China Securities Regulatory Commission for listing on the Beijing Stock Exchange. Eight managers – including China Asset Management, E Fund, Huitianfu, Southern, Jasic, Eastmoney, Fortune and CITIC Securities – are preparing the applications. These funds are expected to broaden the product range on the exchange, draw new capital, improve secondary‑market liquidity and support valuation recovery for innovative small‑ and medium‑sized enterprises.