According to the app provided by Wise Finance, on July 18th, Li Yaozhu, the star fund manager who won the public offering championship in the whole market in 2023, managed the GF Global Select Stock Fund and GF Hushen Hknewstart Fund, etc. released their second quarter reports. Among them, as of the end of the second quarter, the top ten heavy-weight stocks in GF Global Select were Nvidia (NVDA. US), ServiceNow Inc. (NOW.US), Meta Platform, Limited (META.US), Apple Inc. (AAPL.US), Microsoft (MSFT.US), Alphabet Inc. (GOOG.US), Amazon.com, Inc. (AMZN.US), Eli Lilly and Co (LLY.US), Synopsys, Inc. (SNPS.US), and Hermes International SCA. Compared with the end of the first quarter, Apple Inc. entered the top ten heavy-weight stocks, and Salesforce.com, Inc. has exited the top ten heavy-weight stocks.

It is worth noting that this year, Li Yaozhu broke the 'curse of the championship'. The Shanghai-Hong Kong-Shenzhen funds and QDII funds managed by him have entered the front ranks of the whole market performance. Among them, the return rate of the GF Hushen Hknewstart Fund this year is 18.82%, and the GF Global Select Stock Fund has achieved a performance of 23.3% this year.

Apple Inc. entered the top ten heavy-weight stocks.

Specifically, as of the end of the second quarter, GF Global Select's equity investment position reached 86.19%.

In terms of holdings, as of the end of the second quarter, the top ten heaviest stocks held by GF Global Select were Nvidia, ServiceNow Inc., Meta Platform, Limited, Apple Inc., Microsoft, Alphabet Inc., Amazon.com, Inc., Eli Lilly and Co, Synopsys, Inc., and Hermes International SCA, compared with the end of the first quarter, Apple Inc. entered the top ten heavy-weight stocks, and Salesforce.com, Inc. has exited the top ten heavy-weight stocks.

In terms of net value, the net value growth rate of the GF Global Select A-share fund in the second quarter was 4.30%, and the benchmark rate of return for the same period was 4.79%; the net value growth rate of the C-share fund was 9.11%, and the benchmark rate of return for the same period was 8.41%.

Li Yaozhu said that the main trend in the global market in the second quarter is still AI. Despite the strong trend in the AI industry, there are not many companies that can actually turn this trend into performance. As for the U.S. economy, all macroeconomic indicators except PMI are falling back. Since the depletion of the excess savings of U.S. residents since March, the consumer industry has also faced greater pressure in this quarter. Therefore, combining the scarcity of AI performance and the cooling of the U.S. economy, the market hot spots are concentrated on fewer stocks. From the perspective of China, domestic policies continue to maintain a steady growth tone, and the Chinese economy maintains a certain resilience in the medium and long term.

At the industry level, this quarter, Anthropic released Claude3.5, which surpassed OpenAI's latest model GPT-4o in most evaluation indicators. Li Yaozhu believes that the competition among large models has officially entered the 'three-legged' era from the previous 'one over many strong' period, and the capacities of OpenAI, Anthropic, and Google cannot be ignored. The intensification of competition among large model companies is very conducive to the growth of AI computing power demand. However, at present, we have not seen the commercialization of AI that can match the scale of tens of billions of dollars in annual capital spending (Capex). Therefore, in addition to the release of GPT-5, this year is also very much looking forward to whether the largest mobile phone manufacturer can make breakthroughs in end-side applications.

In terms of operations, the GF Global Select Fund continued to diversify portfolio risks from a global perspective in the second quarter. Li Yaozhu pointed out that the AI trend will continue, but the rising valuations and crowding of some companies will increase the volatility of prices, and he hopes to diversify risks through relatively diversified allocations. Based on this, the portfolio continued to reduce holdings of some semiconductor companies and software companies with high valuations, increased the proportion of platform-type technology companies with high stability, and increased the allocation ratio of high-dividend Chinese assets.

Increased allocation of Hong Kong stocks with high dividends.

In addition, the GF Hushen Hknewstart second quarter report showed that the equity investment position as of the end of the second quarter reached 85%. In the second quarter, the net value growth rate of the A-share fund was 7.25%, the net value growth rate of the C-share fund was 7.15%, and the benchmark rate of return for the same period was 2.79%.

From the perspective of holding positions, the holding strategy of GF Hengqiang New Starting Point Fund tends to blue-chip stocks with dividends. Li Yaozhu significantly increased his position in China Mobile (00941), the leader in dividend stocks, from the fifth largest heavy-weight stock to the largest heavy-weight stock in the second quarter. At the same time, he also significantly increased his position in Zijin Mining Group (02899) and CNOOC (00883). All of these reflect Li Yaozhu's awareness that this year's Hong Kong stock market trend is basically the same as that in A-shares, and the "top strategy" that fund managers choose for holding positions in A-shares has actually become the most profitable strategy for Hong Kong stocks this year.

In terms of operations, Li Yaozhu stated that the portfolio increased its allocation of Hong Kong high-dividend companies in the second quarter, which have great allocation value in the medium to long term. In addition, it still focuses on the allocation of state-owned enterprises in the resources sector and continues to be bullish on the long-term valuation improvement opportunities among them.