FOF, known as the Fund of Funds, is similar to the “Superfund” that can make investment in different products and go beyond the single management boundary, for the purpose of risk diversification and flexible allocation. FOF is one of the important asset allocation means.
Centering on major asset allocation, Tianhong’s FOF operations flexibly take advantage of various investment strategies in pursuit of gains in the all-weather market environment. It strives to generate a relatively sound return in different markets through allocation of different risk assets.
Tianhong’s unique big data analysis can assist the decision-making process. FOF series products can successfully share intelligent investment advisors’ portfolio and recommendations strategies and methods, and continuously and mutually test the results of strategy model and FOF quantification model to improve the reliability of investment decisions.
Furthermore, such products can utilize the enormous industry data generated by Alibaba platform and the credit study of the hawk-eye system for investment research.
Tianhong has released the Yu’ebao Sentiment Index to monitor Yu’ebao subscription and redemption, detect the relations between the stock market volatility and Yu’ebao and facilitate judgment.
If the correlation coefficient of index and bank-securities transfer data is up to 0.9, it can reflect the changes in funds flowing into the whole stock market and retail investors’ willingness to invest in the stock market.
As an important indicator for judging the risk appetite of investors, the correlation coefficient may deliver the direction.
Apart from Yu’ebao, Tianhong also launched 19 Rongyibao series index funds in early 2015, which cover broad-based market index, industry index and theme index and basically encompass main board, SME board, cyclical and non-cyclical industries, and value and growth stock style. The indices are numerous and can meet the needs of different investors.
With a low fee and high conversion efficiency, these funds may readily realize a number of strategies such as allocation, timing and rotation, and address the problem that ETF products on exchange are relatively few and the problem of liquidity of minor varieties.
Many products have mature online investment consulting strategy portfolio, and practical experience in FOF products is sophisticated. In the context of stock market volatility, Tianhong’s FOF products have outperformed the market significantly, with a steadily growing rate of return.
Established on Nov. 08, 2004, Tianhong Asset Management is one of the nationwide publicly offered fund management companies authorized by China Securities Regulatory Commissionwith registered capital of RMB 514.3 million Yuan. In 2013, Tianhong Asset Management promoted the first Internet fund – Yu’ebao, jointly with AliPay. As the fund manager of Yu’ebao, Tianhong Asset Management breaks a new ground for the Internet finance.