Capital Rushes into Pharmaceutical Funds, with Some Products Seeing Over 40-Fold Growth in Quarterly Scale

In the third quarter, retail funds poured into pharmaceutical funds. The scale of GF Healthcare Innovation Fund surged from 20 million yuan to 838 million yuan in three months, an increase of more than 40 times; the scales of China Merchants Frontier Healthcare and China Merchants Pharmaceutical Health Industry Equity Fund rose to 2.276 billion yuan and 3.894 billion yuan, respectively. The industry with the largest increase in public fund holdings was pharmaceuticals, with positions rising 4.1 percentage points quarter-on-quarter, the innovative drug sector climbing 1.2 percentage points, and multiple pharmaceutical funds increasing their Hong Kong stock positions. Fund managers believe the market has shifted into a stock alpha phase, and the year-end investment main line will focus on earnings delivery in the CRO and CDMO sectors, while guarding against short-term overheating risks in CXO.