Active equity funds will surpass an average turnover rate of 500% by 2025, reaching the highest level since 2021.

After analyzing the data from the public fund's 2025 annual report, it was found that the trading activity of actively managed equity funds has significantly increased, with an average turnover rate exceeding 500%, reaching the highest level since 2021, an increase of about 30 percentage points compared to 2024. The average holding period has also decreased. Wind data shows that out of the over 4000 actively managed equity funds in the market, less than 20 products had a turnover rate below 80% each year from 2021 to 2025, accounting for less than 0.5%. The performance of the nearly 20 funds with a turnover rate below 80% for five consecutive years from 2021 to 2025 varied greatly: some funds incurred losses for five consecutive years, while others quickly rebounded after the market recovery from 2024 to 2025, with returns exceeding 10% for two consecutive years. In 2025 alone, the performance gap of these funds exceeded 50 percentage points.