"Her Power" | Bank of China Fund's Li Nian: Upholding Integrity and Perseverance for Long-term Success

In traditional understanding, strength is often associated with rigidity and sharpness, but the capital markets are never short of sharpness. Female fund managers are redefining professional strength with a balance of firmness and gentleness. The current “her power” precisely breaks this binary opposition—firmness means adhering to principles and bottom lines, gentleness signifies wisdom and guidance. Together, they forge an investment path that combines strength and warmth, reflected in net value curves and long-term value.

“Using ‘maintaining integrity’ to define my investment style: based on tracking targets, grounded in rules, aiming for clients’ long-term returns, avoiding gambling and drifting, standing from the perspective of ordinary investors, within compliance and discipline frameworks, and staying true to the fundamental value of index investing,” summarized Li Nian, manager of Bank of China CSI Hong Kong Stock Connect Internet Index Fund.

Li Nian, Manager of Bank of China CSI Hong Kong Stock Connect Internet Index Fund

She holds a master’s degree in Mathematical Finance from Boston University, is certified with CFA and FRM credentials, and has full qualifications in securities, funds, and futures. With 8 years of fund industry experience, she officially became a fund manager in March 2025, focusing on index research and index enhancement strategy development. Currently, she manages strategies, industry, and thematic index products, advocates long-termism, and adheres to logical investing.

She believes that her background in quantitative analysis and index compilation enables her to start from fundamental logic, efficiently understanding index construction rules, constituent stock structures, and industry characteristics through data processing and event tracking. This allows her to develop some quantitative insights into index returns and risk points.

In her view, female investment researchers naturally possess patience, meticulousness, strong risk control awareness, and empathy. They are more sensitive to details, volatility, and risks, and better able to understand returns and safety from the perspective of holders. She believes short-term fluctuations are emotional and capital disturbances, while long-term investing is about value reversion and rule victory. The core of index investing is sharing the dividends of economic and industrial growth. Risk control runs through the entire portfolio management process—first safeguarding risk bottom lines, then seeking stable returns—always prioritizing compliance, discipline, and client interests.

Faced with a market flooded with various index funds, how to scientifically allocate, manage precisely, and select rationally has become a focus for investors.

Li Nian dissects suitable scenarios one by one. First, broad-based index funds can serve as the “ballast” for asset allocation, holding long-term to share in economic growth dividends.

Next, sector index funds are suitable for those optimistic about specific industries; thematic index funds often involve cross-industry investments and are considered “offensive” allocations.

Strategy index funds highlight specific factor characteristics to meet differentiated preferences. These funds are suitable for investors with certain investment knowledge who want to target specific stock features, such as those favoring long-term dividends and seeking steady appreciation—dividend strategy index funds are an option. For those optimistic about growth tracks but unwilling to overly focus on a single industry, growth strategy index funds are worth considering.

Finally, enhanced index funds aim to outperform the benchmark on the basis of tracking, striving for excess returns.

In management, she controls tracking error through meticulous position management and optimized rebalancing strategies, leveraging algorithmic trading and batch rebalancing to smooth impact costs, ensuring the fund closely follows index movements.

Additionally, she emphasizes that investors choosing index funds should focus on three core indicators: tracking error, fund size, and fee rates.

Message

Looking ahead, she hopes to maintain focus, diligence, and a long-term perspective. In investing, she remains committed to deepening her expertise in index and quantitative fields, continuously refining research and management skills, making each product more stable, transparent, and trustworthy. In life, she aims to stay true to her original intentions and passions, keep learning, immerse herself in research, proceed steadily and confidently, and walk a long journey with stability.

Her sincere message to holders: Thank you for your trust and companionship. Although markets fluctuate, I will manage every entrusted asset with meticulousness, risk control, and discipline, navigating cycles together and sharing long-term value. I will do my best not to let you down.

Text by Xu Nannan, Edited by Xu Nan