Fund Name: Xingquan Capital Protection

Generation code: 1634 1 1

Solicitation period: August 8-September 4.

Closure period: 1-2 months

Capital preservation period: 2014.9.5-2017.9.5.

Second, the rate structure

1, management fee: 1.3%

2. Custody rate: 0.2%

3. Subscription rate:

Amount (millions) Subscription rate

M

500,000 ≤ m

2 million ≤M

00 million 1000 yuan/pen

4. Redemption rate:

During the guarantee period of the fund, the redemption rate of the fund decreases with the increase of holding time.

Time (y) rate

Y

1 year ≤Y

2 years ≤M

M≥3 years 0

Redemption date: estimated T+4 days.

Three. Answers to related questions

1. What is the concept of capital preservation? Does it include the subscription fee?

There are two ways of capital preservation of domestic capital preservation funds: one is the capital preservation investment amount, which refers to the sum of the fund holder's net subscription amount, subscription fee and interest income during subscription; The other is capital preservation net investment, which refers to the sum of the net subscription amount of the fund holder and the interest income during the subscription period. Obviously, only in the mode of "capital preservation of investment amount" can investors enjoy the capital preservation of 100%.

Xingquan capital preservation adopts the first method, that is, "subscription capital preservation amount = net subscription amount+subscription fee+interest income during the raising period".

2. What is the performance of Xingquan Capital Protection Fund since its establishment?

Since its establishment in August, Xingquan Capital Protection Fund has achieved a steady performance of 20 1 1. According to the data of Galaxy Securities, as of June 30, 20 14, the net value of Xingquan Capital Protection Fund increased by 5.86%. Since its establishment, as of June 30th, 20 14, the net value has increased by 15.48%, exceeding the fluctuation range of the Shanghai Composite Index and the total debt index in the same period. According to the statistics of Galaxy Securities, as of June 30th, 20 14, the growth ranking of the fund's net value was in the top 1/4 of similar funds.

3. If the fund share holders who meet the capital preservation conditions lose their principal after the expiration of Xingquan Capital Preservation Fund, how can the compensation mechanism of Xingquan Capital Preservation Fund be implemented?

Xingquan capital preservation fund implements "double insurance", that is, "fund manager+guarantor".

On the expiration date of the capital preservation period, if the sum of the product of the fund shares subscribed and held by the fund share holders and the net value of the fund shares on the expiration date plus the accumulated dividends of the expired fund shares held by them is lower than the subscribed capital preservation amount, the fund manager will make up the difference and pay the difference to the fund share holders within 20 working days after the expiration date of the capital preservation period.

At the same time, the second capital preservation cycle of the Fund is provided by Shenzhen Gaoxintou Group Co., Ltd. with irrevocable joint and several liability guarantee. The scope of protection is: on the expiration date of the capital preservation period, the sum of the total amount calculated by the product of the expired fund shares held by the holder in the second capital preservation period and the net value of the fund shares on the expiration date of the capital preservation period (that is, the "redeemable amount") and the accumulated dividend amount of the fund shares held in the second capital preservation period (the difference is the capital preservation payment difference in the second capital preservation period).

4. What is the capital preservation investment strategy? What is the capital preservation investment strategy of Xingquan Capital Protection Fund?

Capital preservation funds often adopt CPPI (fixed proportion portfolio insurance strategy) strategy to realize capital preservation. The basic idea of this technology is to invest most assets (insurance bottom line) in securities with fixed expected annualized expected returns to ensure that the principal can be recovered when the capital preservation expires; At the same time, a small part of the remaining funds (safety mat) will be doubled and invested in the stock market to obtain high expected annualized expected returns in the stock market.

At the beginning of the second insurance period, Xingquan capital preservation will mainly follow the CPPI capital preservation strategy, which is to allocate the fund assets into risk-free assets and risk assets in layman's terms. In the second stage, in terms of capital preservation, we mainly strengthen the investment of fixed expected annualized expected return, and timely use leverage to obtain certain expected annualized expected return. In terms of equity investment (including convertible bonds), which accounts for a relatively small proportion, we will use the experience and strength of Industrial Bank in active investment management to adopt more flexible operations to improve the efficiency of equity investment.

5. Which fund share holders are covered by the capital preservation clause of Xingquan Capital Protection Fund?

The following conditions apply to the capital preservation clause of Xingquan Capital Preservation:

1) In the first capital preservation cycle, the fund share holders subscribe for and hold the expired fund shares.

2) For each capital preservation period after the first capital preservation period, the fund share holder purchases and holds the fund share up to the expiration date of the current capital preservation period during the fund transition period, and the fund share holder chooses or defaults to transfer the fund share from the previous capital preservation period of the fund to the current capital preservation period and hold the fund share up to the expiration date of the current capital preservation period (in case of fund share conversion, it refers to the corresponding fund share after conversion).

3) For the expired fund shares, the capital preservation clause applies to whether the fund share holders choose to redeem, switch to other funds managed by the fund manager, transfer the fund to the next capital preservation cycle or transform into "Xingquan Select Stock Securities Investment Fund" after the capital preservation period expires.