Shanghai, 5 October 2026 – China’s public-fund industry is heading towards its busiest year for liquidations since 2018, exposing the strain created by rapid product expansion, weak investor demand and a regulatory threshold that many small funds have failed to clear.
About 256 publicly offered funds have been liquidated in 2026, while another 46 have warned investors that closure may be possible. If all of those products are wound up, the annual tally would exceed 300. The acceleration stands against a much larger market: China had 14,585 public-fund products at the end of August, roughly 10% more than a year earlier.
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