Yu’E Bao grows by over 40% QoQ in the first quarter of 2017 and totals 1.14 trillion yuan (US$170 bn).

Yu’E Bao is a wealth management product using the Alipay account balance built by Alipay. Money transferred to Yu’E Bao buys money market fund of Tianhong Asset Management. The money in Yu’E Bao can also be used to shop online with flexible withdraw.

As of the end of 2016, Yu’E Bao net assets totaled 808.3 billion yuan (US$117.4 bn). The growth in Q1 2017 is over 40% from Q4 2016, keeping Tianhong in the top spot in China’s public fund management.

With more than 260 million subscribers as of June 30, 2016, Yu’E Bao’s current 7-day annualized yield reaches 3.938%, ranking the first in the industry in China.

Also read: China third-party online payment overview 2011-2019

The total e-commerce transactions of fund market in China is estimated to reach 11.2 trillion yuan (US$1.63 trillion) in 2016; it’s estimated to double the current amount to 26 trillion yuan (US$3.78 bn) in 2020.

The total insurance premium of China online insurance market totaled 360 billion yuan (US$52.4 bn) in 2016 with an increase of 132.6%.  It’s estimated to reach 935 billion yuan in year 2020.

Total transactions of China’s P2P loan market were 1.5 trillion yuan (US$217 bn) in 2016, with an increase of 70.8% from the previous year; and, it’s estimated to continue fast growth and reach 4.5 trillion yuan (US$654) in 2020.

This article is an excerpt from CIW E-Book: China Internet Insights 2017

Related whitepaper: China Internet Statistics 2017

According to WeChat, the number of Li Cai Tong users exceeded 10 million and the fund was over RMB100 billion one year after its launch.

Li Cai Tong generated RMB3 billion profit for its users; one user made RMB 45 thousand in one year. Tier 1 cities had highest demand for such product; the average profit from Li Cai Tong among users in Shanghai was RMB897 followed by those in Beijing with RMB851.

30% users prefer to buy wealth management products between 10pm and midnight, most of which are between 30 and 45 years old office workers. 61% are male.

Li Cai Tong is Tencent’s challenge to Alibaba’s Yu E Bao on WeChat, another online money market fund product.

Tian Hong Fund released the news on 5 January 2015 that as of 31 Dec 2014, Yu’E Bao’s exceeded RMB578.9 billion (US$94.09 billion), contributing over 98% of Tian Hong Fund’s total capital. In Q4 2014, Ye’E Bao increased by RMB44 Billion (US$7.15 Billion) from Q3 2014 while Tian Hong Fund management company’s total transaction value increased by RMB41.8 Billion (US$6.79 Billion) in the same period.

Read more: E-banking Replacing Over 80% of China’s Banking Transactions

Tianhong Fund disclosed the report of Yu’E Bao’s first three quarters’ performance in 2014 on 24 October. As of 30 September 2014, total transaction value of Yu’E Bao exceeded RMB534.9 billion ($87.46 billion) with a decrease of 6.8% quarter on quarter in Q3 2014.

Yu’E Bao users made profit of RMB5.7 billion ($0.93 billion) in one quarter and the total profit generated since its birth on June 2013 was over RMB20 billion ($3.2 billion). On average, each user made profit of RMB133 ($21.74).

According to the latest data, total transaction volume of Yu’E Bao was 428 million with a total worth RMB206.8 billion ($33.81 billion) in Q3 2014, an increase of 53.16% quarter on quarter.

There was a net redemption of RMB39.27 billion ($6.42 billion) by the end of Q3 2014, which was the first quarterly decline of Yu’E Bao. The main reason was that some high net worth individuals with money management skills reduced their investment in Yu’E Bao.

The number of Yu’E Bao’s users increased to 149 million in Q3 2014 in China. The number of users increased by 25 million in a single quarter with an growth rate of 20%. Yu’E Bao is still growing rapidly in China. In tier-1 and tier-2 cities, the growth rate was 14% while it had a user growth rate of 21% in tier-3 and tier-4 cities.

Also read: Demystify Alibaba’s Money Fund Yu’E Bao

Baidu 100 Index Fund were sold out, RMB 1.8 billion in less than one and half days. The second phase sale of RMB 1.2 billion starts on 27 October on official website of Baidu Financial Center.

Baifa Index using Baidu financial search and user behavior of large data for the first time, by the corresponding data mining and analysis means, will involve specific financial entity data automatic analysis, merge, statistics and calculation, and the introduction of quantitative investment model, the preparation of the stock market index.

Baifa 100 Index is the first product of Baifa Index, an internet index of cooperation between China Securities Index Co. and Baidu Inc., GF Fund management Co., Ltd. This year Baifu 100 Index rose up by 51.25%, far outperforming the broader market and traditional indices.

Compared with the mainstream of the market index, Baifa 100 Index has achieved outstanding performance since its release with 545% return since 2009 according to Baidu, far higher than the same period in Shanghai and Shenzhen 300 (19%), and Shang Stock Exhange Composite Index (12%).