Xu Zhimin "bids farewell" to former employer, the "Gemini constellation" of Zhongtai Asset Management becomes history, parting words of advice

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Another star fund manager bids farewell to public funds. This time, it’s Xu Zhimin, Chief Investment Officer of Zhongtai Asset Management.

On the night of September 3rd, Xu Zhimin of Zhongtai Asset Management announced the end of his more than ten-year career at Zhongtai Securities Asset Management and the beginning of a new chapter in his life with an essay titled “Xu Zhimin: Meeting Again at 80 to Say Goodbye.”

Xu Zhimin was a member of the founding team of Zhongtai Asset Management and had previously worked at Guotai Junan Asset Management—just like Jiang Cheng, another member of the founding team. Before leaving, Xu led the equity segregated account investment department at Zhongtai Asset Management, similar to Jiang Cheng who headed public equity investment. Therefore, outsiders viewed Xu Zhimin and Jiang Cheng as the two core figures of stock investment at Zhongtai Asset Management.

Xu Zhimin’s farewell letter is full of eloquence and emotions. He made special mention of Jiang Cheng: knowing each other for twenty years, joining the industry together, encouraging each other, growing together, and during every research department defense, Jiang Cheng’s sharp questions, rigorous logic, and different perspectives always made up for many of his blind spots. Xu’s family and classmates were also Jiang Cheng’s clients and reaped considerable returns from it.

But now, this once renowned "Gemini" pair of Zhongtai Asset Management—Jiang Cheng and Xu Zhimin—will be heading in different directions.

In recent years, Zhongtai Securities Asset Management has faced several farewells from “star” investors. Perhaps learning how to “retain” talent is the lesson the company most needs to revisit going forward.

Farewell from the “Segregated Account Master”

As the core of Zhongtai Asset Management’s segregated equity investment, assistant to the general manager, and GM of the segregated account equity investment department, rumors of Xu Zhimin leaving had circulated in the industry for a while, but never came true—until now.

Xu Zhimin is a well-known equity investment manager in the industry, with about 20 years of experience.

He graduated from Fudan University in his early years with a master’s in science. In 2005, he joined Guotai Junan Asset Management. He later followed then-CEO Zhang Biao to join Qilu Securities Asset Management, which was later renamed Zhongtai Securities Asset Management.

This was quite a sensational “personnel change” in the industry at the time. In addition to Zhang Biao, the “big brother” of broker asset management back then, several others like Huang Wenqing, Li Yugang, Xie Jianjie, Wang Jian, and Ye Zhan left Guotai Junan Asset Management and joined Qilu Asset Management over time. Some were already famous back then, while others became industry leaders later on.

This included Jiang Cheng and Xu Zhimin, who had not yet moved to investment roles. Later, both continued to grow, becoming “core figures” in Zhongtai Asset Management’s equity investment, each overseeing public and segregated equity investments, respectively.

Now, it’s time for these rising stars to say goodbye as well.

A Deep Value Investor

Xu Zhimin embodies the characteristics of the older generation of Zhongtai Asset Management: a focus on contrarian investing and solid fundamental analysis.

This was also once a magical aspect of this broker asset management platform.

The leader of this group, Zhang Biao, started from quantitative investing. But the subsequent star investment managers all had a strong “value investing” style, resulting in a strong fundamental analysis approach for this platform.

Xu Zhimin’s speeches and interviews also highlight this investment style. He repeatedly emphasized that “the underlying logic of great investing is to do less market timing, have precise understanding, and cherish luck,” stressing the importance of conviction and not “changing your mind repeatedly.”

He advocates “going through cycles,” prefers making “counterintuitive, contrarian” investment decisions, and is keen on discovering high-quality companies with unique, hard-to-replicate supply barriers and long-term value.

This is in several ways aligned with the thinking of Buffett and Munger.

Why Say Goodbye?

In his goodbye letter “Meeting Again at 80 to Say Goodbye,” Xu Zhimin did not directly touch on the reasons for his departure—not even a symbolic one— which is somewhat surprising.

But through many indirect stories and introspection, perhaps we can get a glimpse into Xu Zhimin’s mind.

He began by recounting the story of his eighty-something-year-old uncle traveling alone to visit old friends in three provinces, refusing his children’s company, and successfully returning. He added, “Humans are truly remarkable creatures” and hoped that with this farewell, “we can do as well as the 80-year-old: shedding worldly pretenses, expressing true emotions, and speaking from the heart.”

He then detailed his performance: “All the products I managed made profits, outperforming the CSI 300 every year. In the long run, I have largely outperformed the CSI 300.” “This means any client of mine who did not exit midway would 100% make money.”

In the latter part, he touched on his concerns: “I just want to make money together with the investors, not merely from them.” “Investment should be an activity that improves quality of life, and there’s no need for investors and managers to have an unhappy relationship.”

Parting Advice

Before leaving, Xu Zhimin also left some investment maxims for investors as parting gifts. He mentioned:

First, there’s no such thing as a small matter in investing, so please devote effort proportional to the importance of the issue. He reminds everyone to invest as much effort in selecting managers as when choosing a house for themselves.

Second, existing clients should also receive good service; please treat those silent, loyal clients well. “For managers, in balancing client acquisition and retention, focus should be placed on retention; when choosing between losing an order and losing a client, choose to lose the order. Those silent, loyal clients outside the wavering ones also deserve to be properly served for their long-term support. These truths are business common sense, and also self-interested for managers.”

Third, products are alive, so please take good care of them. “How investors experience a bull market depends to a large extent on how they get through a bear market. A living product should accompany investors through tough times, instead of letting them use their feet to vote.”

Fourth, distinguish between a correct decision and the correct result. “In investing, a good decision may not yield a good result in the short term, and vice versa. Inner peace and honesty with oneself lead to better decisions, and thus better outcomes.”

Fifth, investment is the intersection of what is understandable and bearable—value those managers who ‘go against human nature.’

Who Will Take Over?

Interestingly, he mentioned his colleague Jiang Cheng in his relatively brief essay, saying, “Especially colleague Jiang Cheng—we’ve known each other for 20 years, entered the industry together, encouraged each other, and grown together. In every research department defense, I have learned so much from colleagues’ ‘confrontations.’ Jiang Cheng’s sharp questions, rigorous logic, and different perspectives always made up for many of my blind spots. So fortunate. My family and classmates are also Jiang Cheng’s clients, and have received rich returns from it.”

In the updated August prospectus for Zhongtai Asset Management’s products, Jiang Cheng now ranks second on the company’s investment decision committee, right after General Manager Xu Jiandong.

At the same time, Jiang Cheng’s resume shows he joined Zhongtai Asset Management in April 2016, and has served as general manager of the institutional investment department, general manager of the fund business department (concurrently heading the research department), and general manager of the public equity investment department. From March 2025 to April 2025, he was deputy general manager and general manager of the public equity investment department. From April 2025 to August 2025, he was deputy general manager. Since August 2025, he has been the deputy general manager and general manager of the segregated account equity investment department.

In other words, Jiang Cheng should have succeeded Xu Zhimin as general manager of the segregated account equity investment department.

Of course, specific products will still be taken over by Xu Zhimin’s other colleagues. According to media reports, Xu Zhimin will step down from the products under his management starting September 4 (inclusive). These products will be managed by team investment manager Zhang Hengjia, and there will be no other team personnel changes for now.

Media also revealed that, adhering to the principle of prioritizing investor interests, Zhongtai Asset Management has established interim open arrangements for related products, respecting investors’ choices and cooperating with channels to complete investor services.

This is an “appropriate” and “decent” arrangement.

Risk warning and disclaimerThe market has risks; investment needs caution. This article does not constitute individual investment advice nor does it consider specific investment objectives, financial situations, or needs of any individual user. Users should consider whether any opinions, views, or conclusions in this article fit their particular circumstances. Invest accordingly at your own risk. ```