Recently, influenced by increasing external uncertainties and intensified fluctuations in the A-share market, the risk aversion sentiment among funds has significantly risen. Among them, bond ETFs, which combine trading convenience, transparency in holdings, and risk diversification advantages, are becoming an important &#34;safe haven&#34; for funds. At the same time, several brokerage firms have recently expressed optimism about the future performance of short-term assets. According to research reports from Southwest Securities, if self-discipline in interbank deposits is strengthened and quarter-end disturbances coexist, short-term assets are expected to continue to outperform in the short term. Founder Securities further pointed out that the current bond market is expected to present a &#34;short-end stability, long-end volatility&#34; oscillation pattern, and investment strategies should adopt &#34;short-duration defense,&#34; focusing on allocating medium- and short-term interest rate bonds, high-grade credit bonds, and interbank certificates of deposit, while maintaining caution towards long-duration assets.
Against the backdrop of high demand for short-term assets, the Penghua 0-4 Year Local Government Bond ETF (159816.SZ), as a clearly positioned on-market short-term fund management tool, has become an important choice for investors to build a &#34;ballast&#34; in a volatile market, thanks to its unique advantages of &#34;low volatility, high liquidity, and stable returns.&#34; According to Wind data, as of March 19, 2026, the fund's scale reached 9.653 billion yuan, not only setting a new record high since its establishment but also firmly ranking first in the market for local government bond ETFs. Penghua Fund has also become the largest fund manager in terms of management scale for local government bond ETFs in the entire market.
On-market short-term fund management tool: Positioning and advantages of Penghua 0-4 Year Local Government Bond ETF
The Penghua 0-4 Year Local Government Bond ETF mainly tracks the CSI 0-4 Year Local Government Bond Index, and its positioning as an &#34;on-market short-term fund management tool&#34; is reflected in three aspects:
First, the underlying assets are safe and stable. This fund primarily invests in local government bonds with a remaining maturity of less than 4 years, which have extremely low credit risk and stable coupon income. At the same time, the portfolio has a relatively short duration, making it less sensitive to interest rate fluctuations, thus providing relatively stable returns while ensuring liquidity.
Second, the trading mechanism is flexible and efficient. As an on-market tool, the Penghua 0-4 Year Local Government Bond ETF supports T+0 round-trip trading, allowing investors to buy and sell at any time during trading hours, with proceeds from sales available for use on the same day. This mechanism enables idle funds in the securities account to be effectively managed without affecting liquidity, providing investors with more diverse options. Third, the return performance is consistently stable. According to the fund's regular reports, since its establishment in 2020, the Penghua 0-4 Year Local Government Bond ETF has achieved positive net value growth for five consecutive calendar years, contributing continuous and stable positive returns to holders even in years of bond market volatility. This is particularly valuable in the current context of increasing market uncertainty.
With these characteristics, the Penghua 0-4 Year Local Government Bond ETF can meet the on-market fund management needs of different types of investors:
Investors with lower risk tolerance: It can serve as a &#34;safety cushion&#34; for short-term fund allocation, providing stable returns;
Investors in need of flexible capital management: The T+0 trading mechanism supports buying and selling at any time, meeting the needs for temporary capital allocation;
Institutional investors: Can serve as allocation tools for intraday turnover trading, enhancing capital efficiency, and can also be used for pledged financing;
Individual investors: Low threshold, high transparency, and convenient operation provide ordinary investors with an effective way to participate in the bond market and manage idle funds.
In addition to the 0-4 year local government bond ETFs, the Penghua local government bond ETF series also includes the Penghua 5-Year Local Government Bond ETF (159972), positioned as a medium-duration tool. The two local government bond ETFs together form a product matrix that combines &#34;long and short durations.&#34; The Penghua 5-Year Local Government Bond ETF tracks the CSI 5-Year Local Government Bond Index, with a relatively longer duration, providing higher price elasticity during interest rate decline cycles. Since its establishment in 2019, this fund has achieved positive net value growth for six consecutive calendar years, with the latest scale exceeding 4.07 billion yuan (performance data source: fund regular reports, scale data source: Wind, as of March 19, 2026).
Professional team support: Strength of the Penghua Cash Investment Department
As the management team of the Penghua local government bond ETF series, the Penghua Fund Cash Investment Department is committed to building a diversified cash management ecosystem. Currently, it has established four major product lines: money market funds, short-term pure bond funds, medium- and long-term pure bond funds, and bond index funds, managing over 570 billion yuan (as of the end of 2025), demonstrating strong capability in &#34;managing large sums of money&#34; and creating a complete product matrix that meets different risk preferences and allocation needs.
Among them, there are 11 money market funds; 8 short-term pure bond funds, categorized into open-end, holding period, and fixed-open funds based on the duration of the bonds held; 4 medium- and long-term pure bond funds; and 9 bond index funds, covering four major categories: interest rate bond index, credit bond index, interbank certificate of deposit index, and bond ETFs.
The Penghua local government bond ETF series is co-managed by Ye Zhaoming and Zhang Yangcheng. Ye Zhaoming is currently the Managing Director (MD) of Penghua Fund / General Manager of the Cash Investment Department / Fund Manager, with 17 years of experience in the securities industry and 11 years of fund management experience, focusing on the cash investment field for a long time; Zhang Yangcheng is currently the fund manager of the Penghua Fund Cash Investment Department, with 8 years of experience in the securities industry, familiar with the operational mechanisms of bond ETFs on exchanges, especially experienced in index replication, tracking error control, and subscription and redemption arrangements. According to fund regular report data, as of the end of 2025, Ye Zhaoming and Zhang Yangcheng managed bond fund scales exceeding 63.6 billion yuan and 72.3 billion yuan, respectively.
Looking ahead, the Penghua local government bond ETF series is expected to continue providing investors with clear positioning and stable cash management solutions, helping various investors navigate the turbulent market steadily and sustainably

511010

159972

Penghua 0-4 Year Local Government Bond ETF recently surpassed 9.6 billion, becoming the largest local government bond ETF in the market, mainly due to its low volatility, high liquidity, and stable returns, which have attracted investors. This fund primarily invests in local government bonds with maturities of 4 years or less, featuring low credit risk and stable returns. The flexible trading mechanism of short-term cash management tools allows investors to effectively manage idle funds and adapt to market fluctuations. Brokerage institutions hold an optimistic view on short-term assets and recommend adopting a short-duration defensive strategy

腾讯新闻 - 财经

Guotai SSE 5-Year China Treasury Note ETF

Penghua CSI 5 Years Local Government Bond ETF

Penghua 0-4 Years Local Government Bond ETF scales over 9.6 billion, ranking first in its category: On-market short-term fund management tool, covering diverse allocation needs