Public fund scale surpasses 38.6 trillion. Who is bottoming out during the February adjustments?

The latest figures for China’s public mutual fund industry have been released. This new data is extensive and allows for rare conclusions.

According to the latest firsthand data from the Asset Management Association of China, as of the end of February 2026, there are a total of 165 public fund management institutions within the country, including 150 fund management companies and 15 asset management institutions with public fund qualifications. The total net asset value of public funds managed by these institutions amounts to 38.61 trillion yuan.

Another implicit inference from this data is that, despite the market showing a rebound and pullback trend in February this year, it remains the 11th consecutive month since April 2025 that the net asset value of public funds has experienced positive growth, setting a new historical high once again.

Stable Assets Continue to Attract Funds

As the largest asset management category in the industry, public funds actually represent the intentions of the largest number of retail and institutional investors in the market.

The data shows that in February, low-risk fixed income assets became the market’s main force, attracting a large influx of funds.

Money market funds became the primary attractors, with their scale surging. The share of money market funds increased from 15.27 trillion units to 15.85 trillion units, a monthly increase of nearly 580 billion units. This indicates that in a complex market environment, a large amount of capital chose the safest money funds for transition and hedging.

Bond funds also expanded steadily, with shares increasing from 8.73 trillion units to 8.87 trillion units, and net asset value rising from 10.53 trillion yuan to 10.75 trillion yuan. This reversed the “double decline” trend seen in January and perhaps indicates a warming outlook among institutional and individual investors toward the bond market, leading to increased allocation.

No Major Withdrawals from Equity Funds

What about the flow of funds in the equity market?

Throughout February, some funds built a safety cushion in money and bonds, while others quietly accumulated chips during the correction of stock funds.

Shares of stock funds stabilized with slight growth, but their scale shrank. This suggests that although the overall stock market performed poorly at the end of February, leading to a decline in net asset value, there was no significant withdrawal of funds.

Mixed funds and their scales both grew steadily, increasing from 4.01 trillion yuan to 4.10 trillion yuan. Active funds, to some extent, are gradually finding their rhythm and slowly regaining growth momentum.

Cross-border and Allocation Funds Remain Popular

Cross-border funds and FOFs continued to maintain strong growth momentum in February.

The share of fund-of-funds (FOF) increased significantly from 252.276 billion units to 285.124 billion units, with the scale surpassing 310 billion yuan. The notable growth of FOFs indicates that investors are increasingly inclined to entrust assets to professional institutions for secondary diversification, which is also related to active promotion by sales agencies.

The scale and share of QDII funds also continued to rise, reaching 1.03 trillion yuan. This reflects the ongoing strong demand among domestic funds for global asset allocation and risk diversification across markets.

Overall, individual investors’ wealth accumulation continues, with a stable mindset. Existing funds remain stable, and new funds are more actively increasing holdings in low-risk and cross-border products.

Risk Warning and Disclaimer

The market carries risks; investment should be cautious. This article does not constitute personal investment advice and does not consider individual users’ specific investment goals, financial situations, or needs. Users should consider whether any opinions, views, or conclusions in this article are suitable for their particular circumstances. Invest at your own risk.