Yang Delong: Public funds are a good direction to absorb the 50 trillion yuan of maturing deposits

Data shows that approximately 50 trillion yuan in fixed-term deposits are maturing this year, while current bank deposit interest rates have fallen to just over 1%. Yang Delong, Chief Economist and Fund Manager at Qianhai Kaiyuan Fund, believes that public mutual funds are a good option for absorbing this capital. As a popular investment method for the public, public mutual funds have inherent advantages due to their diverse product offerings: money market funds offer good liquidity, though with lower yields, making them suitable for low-risk investors; bond funds and other fixed-income products are suitable for investors seeking certain returns; investors with higher risk tolerance can allocate to hybrid funds or equity funds to share in the market’s growth.

Yang Delong predicts that in the coming years, the pace of household savings shifting into the capital market is expected to accelerate, which will serve as a key driver for this round of “slow bull” and “long bull” markets. In his view, capital inflows are not a short-term phenomenon but part of a long-term trend driven by profound changes in residents’ wealth allocation structures.