Invesco Great Wall's Liu Yanchun's latest annual report shows another huge loss! Over 30 billion yuan lost in three years, with management fees still collected at 230 million yuan.

Source: Mo Si Observes the Market

On March 27, 2026, Liu Yanchun, a fund manager at Invesco Great Wall Fund, released the 2025 annual report for the funds under his management. The funds under his management continued to post large losses, triggering strong dissatisfaction among investors.

《Mo Si Observes the Market》 noted that Liu Yanchun’s managed assets fell from a peak of RMB 116.3 billion in 2021 to RMB 31.48B, a decline of about 73%. Over the past three years, the cumulative loss of his products has exceeded RMB 30 billion. The unit net value of Invesco Great Wall Emerging Growth Hybrid A—the product with the largest scale—has been cut to nearly half. Over the past three years, its cumulative loss has exceeded RMB 10 billion.

With highly concentrated holdings and an extremely low turnover rate, 8 of the top 10 holdings in 2025 fell, sharply contrasting with the Shanghai Composite Index’s rise of 18%. Despite dismal performance, the fund still accrues management fees at an annual rate of 1.2%. In 2025, it collected RMB 230 million, which has been criticized as “earning management fees while lying back.”

In addition, Invesco Great Wall has long relied on a “star-making” model. Its equity business shrank as Liu Yanchun’s performance deteriorated. The scale of hybrid fund categories shrank by more than RMB 80 billion from the high point in 2021. New products such as Invesco Great Wall Growth Select Hybrid, since their launch to date, have posted a return of -7.37%.

On March 27, Invesco Great Wall’s well-known fund manager Liu Yanchun released the 2025 annual report for the funds under his management. The funds he manages have lost badly again, triggering strong dissatisfaction among investors,

Some fund investors commented under the fund, saying: “I bought it because of the manager’s reputation. The drawdown is directly 50%. I see no hope!”

Others protested: “It has been established for 19 years, and there have been 11 loss-making years. What face do they have to charge such high management fees.”

Liu Yanchun, born in 1976, has a bachelor’s degree from Tsinghua University and a master’s degree from Peking University. He has 23 years of experience in securities practice and more than 16 years of fund management experience. He previously worked at Hantang Securities, Hong Kong CITIC Investment Research Co., Ltd., and Bosera Fund. He joined Invesco Great Wall Fund in January 2015 and is currently Assistant General Manager and Director of the Research Department of the company.

Liu Yanchun is known for his distinctive style of “high position sizing, high concentration, low turnover rate, and long-term holding of consumer sector leaders.” He is also a representative figure of “academy-style” value investing. The peak of his career came in the second quarter of 2021. Riding on heavy holdings in consumer stocks such as liquor stocks, and with the consumer sector’s dividends-driven rally, his managed assets once surpassed RMB 116.3 billion, making him one of the few “top-tier” fund managers in the public fund industry with a scale of over RMB 100 billion.

However, starting in the second half of 2021, the bubble in core assets burst, the consumer sector entered a period of ongoing adjustment, but Liu Yanchun’s holding style changed almost nothing. As of the end of March 2026, there are 11 funds under his management with a total managed scale of only RMB 15.93B. This is a reduction of more than RMB 80 billion from the peak, with the reduction amounting to about 73%.

All 11 funds currently under Liu Yanchun’s management are equity-biased hybrid funds. The product line is highly concentrated in the consumer sector. Among them, Invesco Great Wall Emerging Growth Hybrid (A/C combined scale of about RMB 15.88B) is his largest and most representative product, and also the “worst-hit area” where investors’ losses are most concentrated.

As of March 2026, among the 11 funds managed by Liu Yanchun, 7 have had negative returns over their respective tenures.

It is worth noting that the investment strategies of these funds managed by Liu Yanchun overlap heavily, and the top ten holdings are highly similar.

As of the end of 2025, the top ten holdings of Invesco Great Wall Emerging Growth managed by Liu Yanchun are, in order: China Tourism Group Duty Free, Guizhou Maotai, Haitian Biogroup, Mindray Medical, Shanxi Fenjiu, Midea Group, WuXi AppTec, Chen Guang, Luzhou Laojiao, and Gujing Gongjiu.

Compared with the holdings at the end of 2024, the only change is that Wuliangye was removed and WuXi AppTec took its place. In other words, over the entire one-year period, Liu Yanchun made only one adjustment at the margin of the portfolio, and the turnover rate is so low that it is astonishing.

In 2025 as a whole, 8 of these 10 stocks recorded declines, with only China Tourism Group Duty Free and Midea Group managing to maintain slightly positive returns. The stocks with larger declines include Mindray Medical, WuXi AppTec, and Gujing Gongjiu, among others; some liquor and pharmaceutical stocks fell by more than 15%.

This performance sharply contrasts with the broader market: in 2025, the Shanghai Composite Index rose by more than 18%, while Liu Yanchun’s heavy-holding portfolio generated overall negative returns. This shows that his holding direction was severely misaligned with the market style of that year.

Among the 11 funds, the one with the largest decline is Invesco Great Wall Outstanding Growth Hybrid C, with a decline of 30.75%. In addition, the fund with the largest scale, Invesco Great Wall Emerging Growth Hybrid A, had a cumulative decline of -34.52% over the past 3 years. At the end of 2024, this fund still had a scale of RMB 21.9 billion, but as of March 2026, its scale had shrunk to RMB 216.18B. The decline was 27.5%.

Moreover, over the past three years, this largest product, Invesco Great Wall Emerging Growth, incurred cumulative losses of more than RMB 10 billion. By year, 2023 had the worst loss at RMB 7.2 billion, 2024 had a loss of RMB 2.7 billion, and in 2025 losses continued at nearly RMB 400 million.

In addition, the unit net value of Invesco Great Wall Emerging Growth fell from about RMB 3.28 at its peak in 2021 all the way to RMB 1.66. Over five years, it has been cut to nearly half. Based on incomplete statistics, from the beginning of 2021 to today, at least the fund products managed by Liu Yanchun have suffered losses of more than RMB 30 billion.

With performance continuing to be dismal, management fees are still collected without exception. Invesco Great Wall Emerging Growth accrues management fees at an annual rate of 1.2%; in 2025, it collected RMB 230 million.

This “lying-back management fee” model, against the backdrop of significantly underperforming the benchmark, has triggered strong dissatisfaction among investors.

Invesco Great Wall Fund used to be a benchmark for the public fund industry’s “equity-first” approach. Its core development path is a clear and market-validated “star-making” model. From the early Wang Penghui, to later Yu Guang and Yang Ruiwen, and then to the most influential “top-tier” manager Liu Yanchun, the company has consistently leveraged core individuals, distinctive labels, and an extreme investment style to attract capital inflows of hundreds of billions and even up to trillions in scale.

During the bull market for core assets from 2019 to 2021, Liu Yanchun’s managed assets surpassed RMB 116.3 billion in the first quarter of 2021. Invesco Great Wall used this to complete its transformation from “investment research-driven” to “traffic-driven.”

However, when Liu Yanchun’s performance sharply declined, Invesco Great Wall’s equity business faced severe challenges. The scale of hybrid funds fell from RMB 131.74B at the end of the fourth quarter of 2021 to RMB 131.742 billion in March 2026, showing a clear downward trend.

Facing the current situation, Invesco Great Wall has to rely on fixed-income products with lower management fee rates to support its overall scale, in order to make up for the downturn in its equity business.

Since 2026, the newly issued products by Invesco Great Wall have also been far from satisfactory. For example, the newly issued Invesco Great Wall Growth Select Hybrid, from its establishment to date, has seen its unit net value drop by about 6%, with a return of -7.37%.

Author | Sister Mo Si