Guotai Jinding Value-Select Mixed Securities Investment Fund

Profile
Transaction code: 500021
Date of establishment: May 16, 2000
Size: 500 million
Type: Contract type closed-end
Fund trustee: China Construction Bank

Investment Concept

The investment opportunity comes from the incisive experience, strict study and correspondence between words and actions.

Fund manager’s comment
For the new combination construction, Jinding Fund mainly focuses on evading the industries with sensitive macro-control index and discovering the new hot industries from the angle of national strategy and industrial change. Based on continuously possessing the booming industries such as transport, port machinery, communication equipment, papermaking, commerce and the stable industries such as food and beverage, Jinding Fund mainly pays attention to the changes on public facility system including consumption upgrading, railroad, electric grids and water supply and the industries such as digital television, 3G, expressway and national defense technology and make the periodic allocation for the periodic industries by the macro-index tracing and value estimation judgment.

Investment Objective
It is mixed fund analyzed on the basis of quantitative indicator, of which objective is to achieve persistent investment returns in long term by conducting a sound risk control.

Investment Strategy
A) The broad category of asset allocation
The broad category of the fund asset allocation is primarily by means of analysis on the macroeconomic situation, fiscal policy, monetary policy, industrial policy, capital markets environment and stock market tendency to forecast macroeconomic development as well as to appraise future profit ratio of equity and bond market, meanwhile to regulate the proportion of equity, bond and cash.

B) Stock assets investment strategy
The primary and secondary stock pool of the fund is founded on the basis of quantitative analysis and fundamental analysis on public companies. In accordance with the individual stock evaluation and alpha value, model for combinatorial optimization is introduced to create constant optimal portfolio to obtain excessive profit on the premise that aggregate risk is effectively under control.

C) Bond investment strategy
The bond investment of the fund is mainly based on analysis of long-term interest rate tendency as well as combining with the medium to short-term economic cycle, macroeconomic policy and yield curve analysis to actualize a positive bond investment management by means of bond replacement and yield curve allocation.