Over 70% of Billion-Dollar Private Funds are Fully Invested, Grasping Both Technology and Cyclical Sectors

Author: Ma Jiayue

Recently, market volatility has intensified, but private equity holdings are becoming more active. According to the latest data from Private Placement Network, as of March 6, the stock private equity position index rose to 82.64%, hitting a new high in nearly 10 weeks. In terms of scale, large private equity funds (over 10 billion yuan) are showing a clear offensive. As of March 6, private equity funds with full positions (over 80%) accounted for more than 70%, an increase of over 15 percentage points compared to the previous week (February 27).

Data shows that as of March 6, the stock private equity position index rose to 82.64%, up 4.02 percentage points from the previous week. The index has returned above 80% after three weeks and reached a new high in nearly 10 weeks, indicating a recent positive change in institutional expectations for the market.

From a scale perspective, leading private equity funds are significantly active. As of March 6, the private equity stock position index for funds over 10 billion yuan was 87.01%. Among them, private equity funds with full positions (over 80%) accounted for as high as 70.71%, a substantial increase of over 15 percentage points from the previous week; those with medium positions (50% to 80%) slightly increased to 24.01%. In other words, among private equity funds over 10 billion yuan, managers with positions above 50% account for nearly 95%.

Starstone Investment, in an interview with reporters, analyzed that although overseas geopolitical conflicts have temporarily affected domestic market sentiment, historical experience since 2000 shows that after risk appetite adjusts downward due to geopolitical conflicts, market performance tends to differentiate across sectors, potentially creating oversold opportunities. Moreover, in the longer term, as incremental funds continue to enter, domestic policies are steadily implemented, and policy effects gradually become evident, the probability of domestic price recovery and corporate earnings realization will increase, and a profit-driven market trend is expected to further develop.

Under high-position operations, private equity funds’ profitability effects are further highlighted, which in turn constitutes an important driving force for the influx of incremental funds.

Data shows that as of the end of February 2026, the 12,270 private equity securities investment funds with performance records had an average return of 6.89%, with the top 5% percentile achieving 23.16%.

Statistics indicate that as of the end of February, there were 7,881 stock strategy funds with performance records, of which 6,657 funds achieved positive returns this year, accounting for 84.47%. The average return for the year was 7.78%, with the 5% percentile return at 24.33%, both significantly higher than the market average.

Additionally, in February this year, a total of 193 private fund managers with products (at least 3 products) achieved record-high net values. Among them, 118 fund managers managing at least three products and with nearly one year of performance display on Private Placement Network have achieved record highs. Of these 118 fund managers, 26 are from private equity funds over 10 billion yuan. From a strategy perspective, there are 21 private equity stock strategy fund managers over 10 billion yuan.

Sources close to the matter revealed that with continued inflow of incremental funds, private equity is targeting cyclical and technology sectors for deployment.

Pan Jing Investment Fund Manager Zhan Hongfeng told reporters that the rapid development of the AI industry will remain a key focus this year, especially in upstream core links such as computing power and semiconductors, as well as the implementation of various AI application scenarios. Meanwhile, although precious metals require attention to valuation and performance matching in the short term, under the resonance of macro logic, industrial logic, and monetary logic, precious metals have long-term allocation value, and strategic deployment can be considered at appropriate opportunities.

(Edited by: Xu Nannan)

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