December 6 news, from industry sources, it has been learned that recently the Asset Management Association of China revised the "Guidelines for Performance Evaluation and Compensation Management of Fund Management Companies" and renamed it to "Guidelines for Performance Evaluation Management of Fund Management Companies (Draft for Comments)" and issued it to various fund managers. Relevant documents indicate that the "Guidelines" consist of 7 chapters and 32 articles, with the main revisions as follows:

First, clarify the requirements for compensation management of fund companies;

Second, reform the performance evaluation mechanism of fund companies;

Third, establish a mechanism that binds the interests of investors;

Fourth, clarify the calculation methods for indicators, personnel scope, and other requirements.

The "Guidelines" primarily guide fund managers to establish and improve a performance evaluation and compensation management system centered on fund investment returns.

For example, in terms of fund manager compensation, if the product performance over the past three years is more than ten percentage points below the performance benchmark and the fund's profit margin is negative, their performance compensation should significantly decrease compared to the previous year, with a reduction of no less than 30%. It requires fund companies to fully establish a performance evaluation system centered on fund investment returns, incorporating indicators such as actual profit and loss of products, performance benchmark comparisons, etc., and clarifying that the proportion of medium to long-term indicators over three years should not be less than 80%. It requires fund companies to establish a total compensation management mechanism, optimize the internal compensation distribution structure, and expand the scope of personnel with deferred payment amounts of no less than 40% to include the chairman, senior executives, heads of major business departments, branch heads, and core business personnel.