A-share market turbulence hit home in China's funds industry last year. Large firms suffered the heaviest losses, but also collected the most in management fees, new data reveals.
All but six of the country’s 155 fixed income mutual funds have recorded negative returns so far in 2011, leaving embattled fund management companies nowhere to turn.
Negative Chinese stock-market performance has hurt domestic mutual-fund returns, with not a single mainland asset manager making a profit in the second quarter.
China’s newest FMC has set up a fund to invest in stocks in industries that outperform at different stages in the economic cycle. It also plans another fund in 2011.