Yu'ebao earnings enter the zero era for the first time

Loose liquidity has led to a steady decline in returns for “baby-type” products. Recently, yields in the money market fund sector have continued to fall. The 7-day annualized yield of a leading product, Tianhong Yu’e Bao, has dropped below the 1% threshold, drawing widespread attention from the market. Data shows that currently, nearly 30% of money market funds across the entire market have 7-day annualized yields below 1%, and the low-yield trend has become the industry norm.

However, despite the ongoing pressure on returns, money market fund assets have been rising steadily, like sesame blossoms climbing higher rung by rung. Relevant data shows that, as of the end of March 2026, the size of money market funds has increased to 15.58 trillion yuan; since the start of this year, it has grown by 5499.36 billion yuan. Overall, in the face of the challenge of low interest rates, the money market fund industry has entered a new stage of “micro-profit survival,” and transformation has become an inevitable trend. (21 Finance)