Investment Rating - The report does not explicitly provide an investment rating for the industry [1]. Core Insights - The annualized yield for cash management products over the past week is 1.66%, remaining stable compared to the previous week [1][15]. - The annualized yield for money market funds increased by 1 basis point to 1.51%, narrowing the yield gap with cash management products to 15 basis points [1][15]. - The annualized yield for non-cash fixed income products over the past month is 2.37%, down 5 basis points from the previous week [1][15]. - The annualized yield for closed fixed income products with a maturity of 6-12 months is 3.30%, a decrease of 12 basis points [1][15]. - The annualized yield for closed fixed income products with a maturity of 1-3 years is 3.55%, down 21 basis points from the previous week [1][15]. - The total scale of maturing products from wealth management companies is 245.882 billion, with an average compliance rate of 59%, which is an increase of 11 percentage points from the previous week [1][22]. Summary by Sections Cash Management Products - As of November 24, 2024, the annualized yield for cash management products over the past week is 1.66%, unchanged from the previous week [1][15]. - The yield for money market funds is 1.51%, which is an increase of 1 basis point, resulting in a yield gap of 15 basis points with cash management products [1][15]. Performance Review of Wealth Management Products - The annualized yield for non-cash fixed income products over the past month is 2.37%, which is a decline of 5 basis points [1][15]. - The annualized yield for closed fixed income products with a maturity of 6-12 months is 3.30%, down 12 basis points [1][15]. - The annualized yield for closed fixed income products with a maturity of 1-3 years is 3.55%, a decrease of 21 basis points [1][15]. Maturity and Compliance Status - From November 18 to November 24, 2024, the total scale of maturing products is 245.882 billion, with an average compliance rate of 59%, which is an increase of 11 percentage points from the previous week [1][22]. - Companies achieving a 100% compliance rate include BOC Wealth Management, Schroder Jiao Yin Wealth Management, and BlackRock Jianxin Wealth Management [1][22].

Investment Rating - The report does not explicitly provide an investment rating for the industry [1]. Core Insights - The annualized yield for closed-end fixed-income wealth management products for 1-3 years is 3.55%, showing a downward trend [1][21]. - Cash management products have a 7-day annualized yield of 1.66%, remaining stable compared to the previous week [1][15]. - The average compliance rate for wealth management companies' maturing products is 59%, which is an increase of 11 percentage points from the previous week [1][22]. Summary by Sections 1. Cash Management Products - The 7-day annualized yield for cash management products is 1.66%, unchanged from the previous week, while the yield for money market funds increased by 1 basis point to 1.51%, narrowing the yield gap to 15 basis points [1][15]. 2. Performance Review of Wealth Management Products - The 1-month annualized yield for daily open fixed-income non-cash wealth management products is 2.37%, down 5 basis points from the previous week [1][21]. - The 6-12 month closed-end fixed-income products have a 6-month annualized yield of 3.30%, down 12 basis points [1][21]. - The 1-3 year closed-end fixed-income products have a 1-year annualized yield of 3.55%, down 21 basis points [1][21]. 3. Maturity and Compliance Status - As of November 24, 2024, the scale of maturing products from wealth management companies is 245.882 billion, with an average compliance rate of 59%, up 11 percentage points from the previous week [1][22]. - Companies achieving a 100% compliance rate include BOC Wealth Management, Schroder Jiao Yin Wealth Management, and BlackRock Jianxin Wealth Management [1][22].

Macro Insights - The report indicates a clear shift in policy expectations, with counter-cyclical policies being further intensified. Since November, policies have been enhanced regarding local government debt and real estate optimization, with a total of 10 trillion yuan in debt resources added to alleviate local debt pressure [10][12][19] - Economic indicators show signs of stabilization, with improvements in consumption and real estate sales data, although corporate recovery remains slower compared to consumer recovery [10][12][14] Industry Insights Steel Industry - Steel exports have continued to grow significantly, with October steel production reaching 81.88 million tons, a year-on-year increase of 2.9% [25][29] - The average profit margin for steel mills rebounded sharply in October, rising from 9.74% in September to 62.12%, indicating a strong recovery in profitability [35] - The report anticipates that steel prices may experience fluctuations in November, with a slight downward adjustment expected due to seasonal demand changes [25][29] New Materials - The magnesium and titanium new materials sector has seen a decline in downstream demand, leading to a general price decrease across the industry [39][40] - The report highlights that while magnesium alloy companies have seen revenue growth, profit margins have slightly declined, indicating a mixed performance in the sector [39][40] New Energy - The new energy vehicle market has shown robust growth, with October sales of new energy vehicles increasing by 49.6% year-on-year, driven by the continued implementation of trade-in policies [46][47] - The report forecasts that the demand for new energy vehicles will remain strong, with expectations of reaching 12 million units sold in 2024 [54][55] Information Technology - The AI software sector is experiencing significant growth, with companies like Applovin seeing a 66% year-on-year increase in revenue, driven by AI-driven advertising technology [60][61] - The report notes that the domestic data center market is recovering, with increased demand for AI-driven solutions expected to sustain growth in the sector [63][64] Enterprise Financing - The report discusses liquidity management, noting that the yield spread between cash management products and money market funds has narrowed significantly, indicating a shift in investment preferences [70][73] - Current deposit rates among major banks remain stable, with a slight variation in rates offered by different banks [72][80] Appendix - The report includes a summary of recent macroeconomic policies and events, highlighting key measures taken to support economic recovery and stimulate demand across various sectors [87][90]

Investment Rating - The report maintains a "Recommended" investment rating for the industry [4]. Core Insights - The report highlights strong support for the growth of the new energy vehicle (NEV) industry due to favorable government policies, including a total subsidy of 9.89 billion yuan for the automotive sector [2][111]. - The NEV market is experiencing rapid growth, with production and sales in October 2024 reaching 1.463 million and 1.43 million units, respectively, marking year-on-year increases of 48% and 49.6% [2][107]. - The overall industry outlook remains positive, with a focus on monitoring upstream raw material prices and monthly sales trends [2]. Summary by Sections 1. Industry Weekly Data Tracking 1.1. Upstream Materials - The average price of industrial-grade lithium carbonate is 78,500 yuan/ton, down 1.26% from the previous week, while battery-grade lithium carbonate averages 81,000 yuan/ton, down 1.22% [56][57]. - Lithium hydroxide prices remain stable, with battery-grade prices averaging 68,500 yuan/ton [63][64]. 1.2. Midstream Materials - Prices for ternary materials are stable, with 523 single crystal materials priced at 109,200 yuan/ton and 622 polycrystalline materials at 107,500 yuan/ton [69]. - The reference price for anode materials is 32,378 yuan/ton, remaining unchanged from the previous week [78]. 1.3. Downstream Cells - The average price for square power cells (ternary) is 0.46 yuan/Wh, while for lithium iron phosphate cells, it is 0.37 yuan/Wh, both stable compared to the previous week [102]. 2. Recent News Events - The Ministry of Finance has announced early distribution of 2025 energy-saving and emission reduction subsidy funds, totaling 9.89 billion yuan, to support NEV development [110][111]. - The list of candidates for the exploration rights of a super-large lithium mine in Sichuan has been released, indicating potential acceleration in lithium mining development [112].

Quantitative Models and Construction Methods 1. Model Name: Evergreen Low-Volatility Fund Portfolio - **Model Construction Idea**: The strategy aims to select actively managed equity funds with long-term stable return characteristics, focusing on funds that exhibit low volatility and defensive attributes, suitable for risk-averse investors seeking stable returns[12][22] - **Model Construction Process**: - Historical net value drawdown and volatility levels are used to reflect the investment style and risk control ability of fund managers - These characteristics are tested for continuity, showing significant persistence in maximum drawdown and volatility indicators - Additional constraints on fund valuation levels are applied - Funds are selected based on net value performance and holding characteristics to construct a low-volatility equity fund portfolio[12] - **Model Evaluation**: The model demonstrates strong defensive capabilities while maintaining some offensive potential, making it suitable for low-risk preference investors[22] 2. Model Name: Equity-Enhanced Fund Portfolio - **Model Construction Idea**: This strategy targets higher alpha returns by selecting funds with strong stock-picking capabilities and balancing industry exposure, providing a more aggressive option for high-risk investors[13][24] - **Model Construction Process**: - Analyze fund return sources by decomposing returns into industry allocation beta and stock-picking alpha - Identify funds with significant alpha returns after removing beta contributions - Construct a portfolio of funds managed by fund managers with strong stock-picking capabilities[13] - **Model Evaluation**: The model shows potential for higher elasticity in improved market conditions, with balanced style exposure and strong fund manager capabilities[24] 3. Model Name: Cash Increment Fund Portfolio - **Model Construction Idea**: This strategy focuses on optimizing cash management by selecting money market funds with superior return characteristics while minimizing yield volatility risks[15][25] - **Model Construction Process**: - Evaluate multiple factors, including management fees, duration, leverage levels, institutional holdings, and deviation risks - Construct a scoring and risk-filtering system to select high-performing money market funds[15] - **Model Evaluation**: The model consistently outperforms its benchmark, providing effective tools for cash management[25] 4. Model Name: Overseas Equity Allocation Fund Portfolio - **Model Construction Idea**: This strategy leverages global equity indices' momentum and reversal effects to select QDII funds, enabling investors to diversify globally[16][28] - **Model Construction Process**: - Screen global equity indices based on long-term momentum and short-term reversal factors - Exclude overbought indices with excessive gains - Select indices with upward trends and strong momentum for portfolio inclusion[16] - **Model Evaluation**: The model provides effective tools for global diversification, with potential for enhanced returns through AI-driven technology growth and valuation recovery[28] --- Model Backtesting Results 1. Evergreen Low-Volatility Fund Portfolio - Weekly Return: -1.340% - Monthly Return: -1.933% - YTD Return: 9.781% - Since Inception: 4.667%[20][22] 2. Equity-Enhanced Fund Portfolio - Weekly Return: -1.696% - Monthly Return: -0.965% - YTD Return: 5.475% - Since Inception: 5.475%[20][24] 3. Cash Increment Fund Portfolio - Weekly Return: 0.033% - Monthly Return: 0.152% - YTD Return: 1.774% - Since Inception: 2.680%[20][25] 4. Overseas Equity Allocation Fund Portfolio - Weekly Return: -0.701% - Monthly Return: -0.704% - YTD Return: 16.313% - Since Inception: 22.409%[20][28]

Investment Rating - The industry investment rating is "Recommended (Maintain)" [5] Core Viewpoints - The magnesium industry is experiencing a decline in magnesium ingot prices, with downstream demand, except for the automotive sector, showing a decrease [1][2] - The production of raw magnesium in China increased to 81,759 tons in October, a 6.29% rise from the previous month, while the average price of magnesium ingots decreased by 1.1% to 19,361.67 yuan per ton [1][12] - The automotive sector, particularly passenger and new energy vehicles, is seeing an increase in production, with total automotive production reaching 2,996,369 units in October, up 7.16% month-on-month [2][12] Summary by Relevant Sections 1. Monthly Data Changes in the Magnesium Industry - The main price of raw coal in Shaanxi rose to 1,028.95 yuan per ton, a 10.36% increase [12] - The production cost of raw coal in China increased to 1,367.63 yuan per ton, up 4.97% [12] - The production of silicon iron rose to 503,725 tons, a 9.26% increase [12] 2. Monthly Data Trends in the Magnesium Industry - The price of magnesium alloys in Jiangsu, Shaanxi, and Shanxi decreased by 1.63%, 1.7%, and 1.7% respectively [2][12] - The production of magnesium powder decreased to 8,094 tons, a 1.44% decline [2][12] - The export of magnesium products increased by 19.06% to 366.18 tons [2][12] 3. Policy and Development Initiatives - Anhui Province issued a plan to promote the high-quality development of the magnesium-based materials industry, aiming to establish itself as a leading production and application base by 2027, with a target industry scale exceeding 50 billion yuan [3][12]

Group 1 - The report indicates that recent market sentiment has cooled significantly, leading to a decrease in the winning rate for investments, as the rotation of market themes has accelerated and narrowed, resulting in weakened profit-making effects [1][13][15] - External events have increased market risk aversion, including escalating tensions in the Russia-Ukraine conflict and deteriorating relations on the Korean Peninsula, which have contributed to a rise in safe-haven assets such as the US dollar and gold [1][15][16] - Current policy measures are primarily focused on debt management and real estate, with a lack of new policies to stimulate domestic demand, leading to a stagnation in A-share valuations and a need for further policy support or fundamental recovery to drive market expectations [1][15][16] Group 2 - A-share market activity has decreased, with average daily trading volume dropping to 17,064 billion yuan, a reduction of 4,755 billion yuan from the previous week, indicating a further decline in market vibrancy [16][31] - The report highlights that the valuation percentiles of major A-share indices have generally declined, with the Shenzhen Component Index experiencing a relatively larger drop [19][20] - The report notes that the risk premium for A-shares has stabilized but remains below one standard deviation, while the equity-bond yield ratio has improved, indicating a potential shift in investment dynamics [20][21][26] Group 3 - The report emphasizes the importance of upcoming economic data releases, particularly the November PMI, as the market is currently in a policy vacuum, and improvements in consumer and endogenous momentum could boost market sentiment [35] - The industry rotation index remains low, suggesting limited opportunities in the market, with a notable decline in profit-making effects following recent market downturns [32][35] - The report suggests a defensive stance in the short term, recommending a reduction in positions until new policy catalysts emerge [15][16][35]

Investment Rating - The report maintains a "Recommended" investment rating for the industry [4] Core Viewpoints - The battery supply chain is experiencing robust supply and demand, with domestic manufacturers maintaining a leading position [2][70] - The automotive market is benefiting from favorable policies, supporting rapid growth in the new energy vehicle sector [2] - The report highlights the significant growth in the production and sales of new energy vehicles, with a market share increase to 46.8% in October 2024 [2] Summary by Sections 1. Industry Weekly Data Tracking - Lithium carbonate prices have increased, with industrial-grade averaging 79,500 CNY/ton (up 9.66%) and battery-grade at 82,000 CNY/ton (up 8.61%) [15][16] - The production of lithium carbonate rose to 13,800 tons in the week of November 9-15, 2024, reflecting a 2.87% increase from the previous week [19] - The market for lithium hydroxide remains stable, with battery-grade prices averaging 68,500 CNY/ton [23][25] 2. Downstream Demand - In October 2024, China's automotive production and sales reached 2.996 million and 3.053 million vehicles, respectively, with a month-on-month growth of 7.2% and 8.7% [2] - New energy vehicle production and sales in October reached 1.463 million and 1.43 million units, marking a year-on-year growth of 48% and 49.6% [2] - The report notes that leading battery manufacturers, CATL and BYD, hold significant market shares of 42.78% and 26.73%, respectively [2][70] 3. Industry Dynamics - The report emphasizes the importance of the recent pilot launch of lithium battery rail transport by CATL, which aims to enhance efficiency and reduce supply delays [2][70] - The overall industry outlook remains positive, with a focus on raw material price trends and monthly sales performance [2]

Group 1 - The report indicates that in October 2024, the average monthly return for the 217 accounts in the investment-linked insurance (投连险) category was -0.36% [22][21]. - The aggressive investment-linked insurance index, which is weighted equally, recorded a return of -0.77% for the month, compared to a -3.16% return for the CSI 300 index [22][21]. - As of the end of October 2024, the aggressive investment-linked insurance index stood at 185.48 points, while the adjusted comparable CSI 300 index was at 72.87 points [22][21]. Group 2 - Among the 217 investment-linked insurance accounts, 102 achieved positive returns, representing 47.00% of the total [28]. - The top-performing accounts included: Changsheng Stable Value Growth Type (25.01%), Changsheng Excellent Growth Type (16.46%), and Xinhua Creation Covenant (11.02%) [28][3]. - The report provides a detailed ranking of various account categories based on their performance in October 2024, highlighting the best performers in each category [28][21]. Group 3 - The report categorizes investment-linked insurance products into six primary categories based on risk-return structures, including index type, aggressive type, mixed type, bond type, currency type, and quasi-fixed income type [15][16]. - The aggressive type accounts had an average return of -0.77%, while the mixed aggressive type recorded -0.96% [25][28]. - The report also includes a comprehensive analysis of the performance of different account types, with specific attention to their rankings and returns over various time frames [21][28]. Group 4 - The report reviews the performance of major international indices in October 2024, noting that the Dow Jones Industrial Average fell by 1.34%, while the Nikkei 225 index rose by 3.06% [17]. - In the domestic market, the CSI 300 index decreased by 3.16%, while the CSI 500 index increased by 2.75% [20]. - The report provides a comparative analysis of the performance of various investment-linked insurance accounts against public fund indices [25][28].

Performance Overview - In October 2024, the average monthly return of the 217 accounts in the ranking system was -0.36%[22] - The aggressive investment-linked insurance index had a return of -0.77%, while the CSI 300 index returned -3.16%[22] - As of the end of October 2024, the aggressive investment-linked insurance index stood at 185.48 points, compared to the adjusted CSI 300 index at 72.87 points[22] Account Performance - Out of the 217 investment-linked insurance accounts, 102 achieved positive returns, representing 47.00%[28] - Top-performing accounts included: Changsheng Stable Value Growth (25.01%), Changsheng Excellent Growth (16.46%), and Xinhua Creation Agreement (11.02%)[28] - The average return for index-type accounts was -3.82%, while aggressive accounts averaged -0.77%[25] Market Context - In October 2024, major international indices showed varied performance, with the Dow Jones down by -1.34% and the Nikkei 225 up by 3.06%[17] - The CSI 300 index declined by -3.16%, while the CSI 500 index increased by 2.75%[20]