Public offering funds are pressing forward with fee reductions, with a fresh wave of announcements hitting the market this week. Southern Tian Tian Bao Money Market Fund, Yong Ying Tian Tian Li Money Market Fund, Yinhua Tongli Flexible Allocation Fund, and China Construction Bank Kaiyuan Huixiang 6-Month Holding Bond Fund have all recently declared lower fee structures. Since the start of 2026, more than 200 funds have trimmed their management or custody fees, spanning categories such as equity ETFs, bond funds, and money market funds.

On September 19, China Southern Fund announced that starting September 23, 2026, it would cut both the management and custody fees for the Southern Tian Tian Bao Money Market Fund to reduce investor costs. The annual management fee will drop from 0.32% to 0.15%, while the annual custody fee will fall from 0.08% to 0.04%. The fund's contract and custody agreement will be updated accordingly.

A couple of days earlier, on September 17, Yong Ying Fund revealed it was lowering the management fee for its Yong Ying Tian Tian Li Money Market Fund from 0.20% to 0.15%, effective the same day, with corresponding revisions to the relevant legal documents.

Meanwhile, Yinhua Fund has announced that effective September 16, 2026, the management fee for the Yinhua Tongli Flexible Allocation Fund will be reduced from 0.60% to 0.50%, and the custody fee will be cut from 0.15% to 0.10%. Additionally, September has seen fee adjustments for funds like CCB Kaiyuan Huixiang 6-Month Holding Bond Fund, Hongde Tianli Money Market Fund, and Oriental Minfeng Hui Bao Ying An Mixed Fund.

Year-to-date, the number of funds slashing fees has exceeded the two-hundred mark. According to Wind data as of September 19, 162 funds (counting only main share classes) have lowered management fees, 160 have reduced custody fees, and 14 have cut sales service fees. Of these, 103 funds have simultaneously reduced both management and custody fees.

Looking at the broader market, the average management fee for publicly offered funds tracked by Wind currently stands at 0.680%, with an average custody fee of 0.133%—both showing marked declines compared to the end of 2023.

Several notable fee cuts have drawn significant market attention this year. In the cross-border ETF space, on March 27, the Fullgoal CSI Hong Kong Stock Connect Internet ETF, the largest cross-border ETF by AUM, cut its management fee directly from 0.5% to 0.15% and its custody fee from 0.1% to 0.05%.

In the broad-based and sector ETF arena, the Huatai-PineBridge CSI 1000 ETF slashed its annual management fee from 0.50% to 0.15% and its custody fee from 0.10% to 0.05% effective May 28, 2026. The E Fund Guozheng Value 100 ETF and its feeder fund reduced their custody fee from 0.15% to 0.05% starting May 29, 2026. Furthermore, the E Fund CSI Battery Theme ETF and the CSI Fintech Theme ETF have seen their custody fees drop from 0.15% to 0.05% since April this year.

Bond and money market funds have also participated in the trend. CCB Ruihe Pure Bond Fund trimmed its management fee from 0.30% to 0.26%, while Huaan Anjia 6-Month Fixed-Term Fund and Nuode Anyuan Pure Bond Fund each saw their annual management fees reduced from 0.30% to 0.20%, with the latter's custody fee also falling from 0.10% to 0.05%. E Fund Money Market Fund and Jiahe Money Market Fund have both cut their annual management fees—from 0.33% to 0.15% and 0.2% respectively—alongside custody fee reductions from 0.10% to 0.05%.

Industry insiders note that the fee-reduction narrative for 2026 has shifted away from the actively managed equity funds that dominated 2023's wave of cuts from 1.5% to 1.2%. Instead, the spotlight is now on batch reductions across cross-border ETFs, sector and broad-based ETFs, as well as catch-up cuts in bond and money market funds.