The Chairman of ICBC Credit Suisse Fund, Zhao Guicai, has spoken out: strengthening the link between fund managers' co-investment, compensation and performance of over three years.

Recently, the China Securities Regulatory Commission officially released the "Action Plan for Promoting the High-Quality Development of Public Funds". It proposes 25 policy measures in six aspects, including optimizing fund operation models, improving industry assessment systems, vigorously increasing the scale and proportion of public fund equity investments, accelerating the construction of first-class investment institutions, guarding against risk, and strengthening regulatory enforcement. With the implementation of these policy measures, the high-quality development of the public fund industry will reach a "turning point". In response to this, Zhao Guicai, Chairman of ICBC Credit Suisse Fund, stated that the policy guidance directly addresses industry pain points such as "heavy scale and light returns", and "buying high and selling low". Public funds need to adhere to long-term investment and value investment, strictly prohibit style drift, and reduce turnover rate. In terms of product development, a floating management fee collection model based on performance benchmarks will be introduced. For fund managers, the follow-up investment system will be strengthened, and compensation will be linked to performance for three years or more, which is conducive to solving the "drought and flood protection" problem of fund companies and enhancing the motivation of fund managers to create better returns, strengthening the connection with investor interests.