Cultivated diamonds are improving, and funds are reaping a bumper harvest?

The cultivated diamond sector continues to “shine”. Wind data shows that since the market rebounded at the end of April, as of the close of August 18, the lab-grown diamond index has nearly doubled. Many stocks in the sector have experienced cumulative gains of more than 90% since the end of April. So today the editor is here to sort out the relevant knowledge of funds for you, let’s take a look!

The sector is rising strongly

Driven by the high prosperity of the industry and market demand, the cultivation The diamond sector has seen strong gains recently. Wind data shows that since the market rebounded on April 27, the cultivated diamond index has increased by more than 98%. Stocks such as Power Diamond, Zhongbing Hongjian, Sinomach Seiko, and Wald all have a cumulative increase of more than 90%.

Wind data shows that since the market bottomed out on April 27, as of August 18, the stock price of Force Diamond, the leader in cultivated diamonds, has increased by 92.59%, with the stock price reaching a maximum of 246 yuan. The company's semi-annual report showed that the company's net profit in the first half of the year was 239 million yuan, a year-on-year increase of 121.39%.

Many superhard materials manufacturing companies in the middle of the industry also performed strongly. The share price of Zhongbing Hongjian, the world's largest synthetic diamond producer, has doubled since April 27. Zhongbing Hongjian stated in its performance forecast that the prosperity of the superhard materials industry continues to be high, and industrial diamonds and lab-grown diamonds are still in a booming production and sales stage. The company's net profit attributable to parent companies in the first half of the year is expected to be 665 million yuan to 715 million yuan. A year-on-year increase of 103.41% to 118.71%.

Sifangda and Huanghe Tornado, which also produce superhard materials, have also experienced large increases. Since April 27, the stock prices of the two stocks have increased by 96.68% and 43.78% respectively. Huanghe Tornado stated in its performance forecast that in 2022, the company will continue to optimize the product structure of its main business of superhard materials, which will greatly improve the profitability of its main business products. It is expected to achieve a net profit attributable to the parent company of 70.5 million yuan in the first half of the year, a year-on-year increase of 194.20% .

Become a driver of fund product performance

As a "rising star" in the market, the cultivated diamond sector has long been favored by some fund companies, and has also become an important driver of the performance increase of some fund products.

Take the Yellow River Cyclone as an example. Since the first quarter of 2021, Bank of Communications Schroeder Trend Priority Mix managed by Yang Jinjin has appeared among the top ten tradable shareholders of the stock. Xin'ao Craftsmanship Zhenxuan's two-year holding period hybrid has also begun to hold heavy positions in the stock since the third quarter of 2021. As of the end of the first quarter of 2022, Xin'ao Craftsmanship Zhenxuan's two-year holding period hybrid still ranks sixth in the Yellow River Tornado Large circulating shareholders.

Xin'ao Cyclic Power Hybrid and Xin'ao Craftsmanship Select Two-Year Holding Period Mix under Cinda Australia and Asia Fund have always favored individual stocks in the cultivated diamond sector. Xinao Cyclic Power Hybrid has allocated Yellow River Tornado as one of the top ten heavy holdings since the third quarter of 2021. By the fourth quarter of 2021, the top four holdings of this fund are Huanghe Tornado, Zhongbing Hongjian, Sinomach Seiko and Sifangda, all of which are cultivated diamond sector stocks; as of the end of the second quarter of 2022, Zhongbing Hongjian and Yellow River Cyclone still ranks among the top two holdings of the fund.

Xin'ao Craftsmanship Zhenxuan Two-year Holding Period Mixed Among the top ten heavyweight stocks in the third quarter of 2021, the Yellow River Cyclone appeared. In the fourth quarter of 2021, among the top ten stocks of the fund, there are 4 stocks in the cultivated diamond sector. Yellow River Tornado ranks as the first largest stock, and Sinomach Seiko, Zhongbing Hongjian, and Sifangda rank fourth and fifth respectively. , the sixth largest holding. As of the end of the second quarter of 2022, Zhongbing Hongjian, Huanghe Tornado, and Sinomach Seiko are still among the top ten holdings of the fund.

The second quarter report of the fund in 2022 shows that the second quarter net value growth rate of Xin'ao cyclical power hybrid and Xin'ao craftsmanship two-year holding period hybrid products both exceeded 12%, significantly outperforming the performance comparison benchmark returns. Rate.

Institutions are accelerating their deployment

The high industry prosperity and good performance expectations have also allowed many institutional funds to accelerate their deployment in the cultivated diamond sector.

Wind data shows that 8 cultivated diamond sector stocks, including Zhongbing Red Arrow, Power Diamond, and Sifangda, are heavily held by multiple funds. Among them, Zhongbing Red Arrow and Power Diamond were included in the top ten stocks by 73 and 14 equity funds respectively.

In the first quarter of 2022, there are 3 fund companies among the top ten institutional investors of Zhongbing Red Arrow. According to the second quarter report statistics disclosed by public funds, compared with the first quarter, among the top ten institutional investors in the stock in the second quarter, CCB Investment Management, Wells Fargo Fund, Taikang Asset Management, Zhongrong Fund, Penghua Fund and Great Wall Fund and many other fund companies. CCB Fund, Cathay Fund, Invesco Great Wall Fund and Cinda Australia and Asia Fund all hold more than 10 million shares.

The cultivated diamond sector is also favored by private equity funds. In addition to public and private equity funds, social security funds are also very interested in the cultivated diamond sector. Data from the previous quarterly report showed that 3.9179 million shares, 12.5314 million shares, 12.5846 million shares, and 16.3531 million shares were held by the social security fund respectively in several stocks such as Wald, Zhongbing Hongjian, Jingsheng Electromechanical, and Sinomach Seiko.

Cultivated diamonds are doing well, and funds are reaping good harvests. Related articles:

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