Its February and time for China's first mutual fund liquidation of the year

Reuters reports on China Universal Asset Management, which plans to liquidate an energy stock investment fund

• Says it's the first case of a product dissolutution by a mutual fund for 2016
• It's the Shenzhen-listed China Universal CSI Energy Index ETF
• Its assets are down 56% over the past 7 months

"Fund liquidations are partly the result of market weakness, although they also reflect product strategies," said Ivan Shi, head of research at fund consultancy Z-Ben Advisors. "Many funds are to too small to be profitable so fund managers liquidate them to cut costs."