Another deputy general manager of a fund company has resigned, this time it is a foreign-owned mutual fund. Recently, Morgan Stanley's deputy general manager He Xiaochun resigned and also resigned from managing five funds including Morgan Stanley Quality of Life Selection, with a total management scale of 12.33 billion yuan. It is not uncommon for deputy general managers of fund companies to resign, including many deputy general managers like Huang Hai, Feng Mingyuan who are responsible for investment research, have left their positions due to a focus on investment research. However, this time He Xiaochun's resignation, along with giving up all products, has added some speculation to the market. In addition, the company has also welcomed new senior executives. The former executive deputy general manager of Hua Bao Fund, Liu Xin, has joined Morgan Stanley Fund as deputy general manager. It is learned that Liu Xin has already started working. On July 30th of this year, Liu Xin resigned from Hua Bao Fund for personal reasons. In a full departure, He Xiaochun resigned from the position of deputy general manager. On November 23, Morgan Stanley Fund released an announcement of senior management changes, stating that the deputy general manager He Xiaochun resigned for personal reasons. On the same day, he also stepped down from managing all products, including Morgan Stanley Quality of Life Selection, Morgan Stanley Exclusive Selection held for six months, Morgan Stanley Emerging Industry, Morgan Stanley Leading Advantage, and Morgan Stanley Joyful Peace, among others. With 24 years of experience in the capital market and over ten years of investment experience, He Xiaochun was a veteran. Prior to joining Morgan Stanley Fund in December 2017, he worked at Century Securities and Golden Eagle Fund. He had previously served as Assistant General Manager and Director of the Equity Investment Department, and currently he was the Deputy General Manager, Director of Equity Investment Department, Fund Manager, and Chairman of the Investment Committee. He had a unique style coming from a futures background, with a high tolerance for volatility and a more aggressive approach. In terms of performance, there were fluctuations as well. Looking at the performance of the funds he resigned from, the Morgan Stanley Quality of Life Selection and Morgan Stanley Leading Advantage had returns of 85.14% and 43.36% respectively during his tenure. However, the products launched in 2020 to 2022 at market highs all completed in the negative during his tenure. In 2023, amid difficult market conditions, He Xiaochun launched a new product, the Morgan Stanley Premium Selection. However, by June of this year, after about a year of operation, the fund was liquidated due to the net asset value falling below 50 million yuan for 50 consecutive working days. With the market rebounding, He Xiaochun's performance has shown significant improvement recently. Looking at the Morgan Stanley Emerging Industrials Stock he managed, it has seen a nearly 40% increase in the past three months. As an industry veteran, He Xiaochun had a clear logical approach from the industry standpoint all the way down to individual stock selection. When interviewed by Caijing Magazine in 2023, he mentioned that extreme conditions in the market require a stronger mental resilience in investment, and it can be difficult to avoid anxiety. He also stated that as the macroeconomic growth slows down, truly valuable assets will be relatively scarce. At the same time, he believed that from a medium to long-term investment perspective, one should not overthink, as the focus will return to the fundamentals of the industry and company. During his time at Morgan Stanley, in addition to daily investment research, He Xiaochun was also responsible for managing the company's equity research team. On one hand, he focused on the integration of research and investment, utilizing the talent advantage to promote team complementarity; on the other hand, he streamlined investment philosophy and standardized the investment process. With his full departure, there were speculations among the public about He Xiaochun potentially leaving Morgan Stanley. In the industry's view, the turnover of high-ranking executives and investment researchers towards the end of the year is normal. As November nears its end, fund companies might see frequent personnel changes due to performance rankings or career planning. The replacement of the senior management team within a year Since June 2021, BlackRock Fund has become the first foreign-owned mutual fund management company to be approved to operate in China. Taichang Hongli, Robomai, Fidelity, Schroders Global Fund, Morgan Asset Management, Morgan Stanley, Allianz Fund, and Convergence Fund have also been approved the permission, increasing the number of foreign-owned mutual fund management companies to nine. Among them, Morgan Stanley Fund became the third joint-venture to foreign-owned fund approved in February 2023, following Hongli and Morgan Asset Management. Compared to the newly approved foreign-owned mutual funds, joint-venture to foreign-owned fund companies have a certain foundation in their business operations in mainland China and are actively expanding into new businesses. For example, Morgan Asset Management aggressively entered the CSI A50ETF and CSI A500ETF, with both scales ranking high, especially the CSI A500ETF scale exceeding hundreds of billions; Hongli Fund is well known in global allocation and pension areas, with Hongli India QDII highly sought after by investors. In terms of equity products, Morgan Stanley Fund has also shown bright spots this year. As of the end of October this year, Morgan Stanley Digital Economy managed by Lei Zhiyong was ranked first in partial stock hybrid funds, with a near 58% return. However, in terms of overall business development, the company lacks sharpness, and the perception from the outside is more focused on the turnover of the senior management team. On January 2, 2024, Deputy General Manager Zhou Wenren officially announced that he had joined the company in October 2023. From his resume, he spent a long time in the foreign-owned insurance industry before taking on the role of investment and international business at Morgan Stanley Fund. By April, Wang Hongpin, the general manager of Morgan Stanley Fund, resigned for personal reasons. This legendary female leader had previously led two joint-venture mutual funds. Zhou Wenren succeeded Wang Hongpin, and at the same time, Morgan Stanley Investment Management appointed Huang Min as the new head of the Greater China Region, stating that they would vigorously promote their investment management business in China. In addition, in March of this year, the former deputy general manager of the company, Li Jin, resigned for personal reasons; on May 16th, the former inspector Xu Feifei resigned for personal reasons, and was replaced by Mao Hui. Mao Hui had worked in several law firms such as Jintian Cheng, Yuantai, Beijing Hankun, as well as positions in Shenyin Wanguo and Yongying Fund. Indeed, after the conversion to foreign ownership, due to changes in shareholders, institutions will undergo a round of adjustments and changes in senior management. Since the beginning of this year, including Allianz Fund, Convergence Fund, BlackRock, Fidelity Fund, and Hongli Fund, there have been frequent changes in high-level personnel and investment researchers.Many foreign-owned fund companies have seen changes in their top executives.Generally speaking, foreign shareholders tend to prefer individuals with experience in foreign investment to serve as general managers. More directly, they may choose senior executives from the shareholder side in the Greater China region to take on this role, which requires a deep understanding of the shareholder's investment philosophy and a familiarity with localization in the domestic market. After changes in the general manager position, it is also common to see changes in positions such as supervisor, while changes in deputy general managers are more often based on business considerations. Following a series of senior management changes, the market is particularly looking forward to Morgan Stanley's future development. Regarding the prospects of the Chinese market, Zhou Wenjun pointed out at a recent International Investors Conference hosted by the Shanghai Stock Exchange for 2024, from a global allocation perspective, China's capital market offers a wide range of investment options and great diversity, providing international capital with unique sources of investment returns. For asset management companies, China's asset management industry is vast and has unlimited potential, offering enormous development opportunities. As for the future development path of Morgan Stanley, Zhou Wenjun stated that the company will enhance product innovation and introduce mature overseas experiences to promote the expansion of domestic investment tools, providing investors with more diverse and rich product choices. The years of professional accumulation in areas such as active investment, cross-border investment, sustainable investment, and pension investment at Morgan Stanley Investment Management will provide the company with a "natural advantage" in product innovation. This article was republished from "Cailianshe", translated by GMTEight Editor: Liu Jiayin.