CICC released a research report stating that the overall performance of funds in May 2024 was relatively weak, but there was some differentiation among various types of funds. In the absence of a temporary downward trend in short-term interest rates, the term interest spread may compress again. In the medium to long term, as the downward trend in benchmark interest rates and short-term money market interest rates opens up, the overall downward trend in interest rates will further expand. Therefore, the bank believes that holding bond funds for potential appreciation is still a favorable strategy. The main points of CICC are as follows: Observing the changes in the size of public funds in May 2024, the following points can be seen: 1) Since May, the issuance scale of newly established public funds in the entire market continued to grow year-on-year, but decreased month-on-month. Except for equity funds, the issuance scale of other types of public funds all decreased month-on-month. 2) The issuance scale of newly established bond funds in May decreased to 84.7 billion yuan, a year-on-year increase of 131% but a month-on-month decrease of 28%. The main contributions still came from medium to long-term pure bond funds and passive index funds. The issuance scale of various types of bond funds showed a year-on-year increase, but a month-on-month decrease. 3) The issuance scale of single index bond funds maintained at a high level of 5.9 billion yuan in May, far surpassing other types of funds, mainly issuing green finance-related funds. 4) In May, there were a total of 119 new fund applications, an increase from the previous month, with bond funds still being the main focus. 5) In terms of on-exchange funds, the overall on-exchange shares slightly decreased in May, with stock shares significantly increasing but net asset value decreasing due to market weakness. Bond market performed well, so both shares and net asset value increased. In terms of fund performance, the overall performance of funds in May 2024 was relatively weak, but there was some differentiation among various types of funds. From a primary classification perspective, in May QDII funds> alternative investment funds> bond funds> mixed funds> stock funds. Specifically, the weakness in stock funds may reflect the drag of overall market downturn on stock fund performance; the good performance of bond funds benefited from the decrease in yield in May; at the same t...