Announcement Basic Information - Starting from January 21, 2026, the company will adjust the large subscription (including conversion, regular investment) business for the Class A shares of the Caizheng Asset Management Hongfu Short-Debt Bond Fund at China Merchants Bank Co., Ltd. (Zhaoying Tong) [1] - For non-individual investors, any single subscription amount exceeding RMB 150 million will be subject to rejection for the excess amount. If multiple subscriptions exceed this limit, they will be processed in descending order until the total does not exceed RMB 150 million [1] - The large subscription business will resume on January 22, 2026, with a new limit of RMB 10 million for non-individual investors [1] Other Important Notes - During the suspension of the above-related business, redemption and other services will continue as usual [2] - Investors are advised to plan their investments reasonably and can find detailed information about the fund on the management company's website [2]

Core Viewpoint - Multiple banks have recently launched satellites to enhance their risk management capabilities through satellite remote sensing technology, which allows for real-time monitoring of loan projects and collateral status, addressing the limitations of traditional inspection methods [3][5][6]. Group 1: Satellite Launches - On January 16, 2026, CMB's "Zhaoyin Jinkui" and SPDB's "Puyin Shuzhi" satellites were successfully launched, part of China's first global low Earth orbit satellite IoT constellation, "Tianqi Constellation" [1][3]. - This marks the third satellite launched by CMB, following "Zhaoyin 1" and "Zhaoyin 2" launched in December 2024 and March 2025, respectively [6]. Group 2: Technological Integration - The "Zhaoyin Jinkui" satellite is a low Earth orbit narrowband IoT satellite, complementing two previously launched broadband satellites, forming a collaborative communication matrix for CMB [5]. - CMB's remote sensing technology is integrated into its financial risk control system, achieving over 95% accuracy in monitoring construction progress of mortgage properties nationwide [5]. Group 3: Industry Trends - SPDB's "Puyin Shuzhi" satellite is part of the "Tianqi Constellation" and aims to enhance the bank's smart risk control and comprehensive service system, especially in extreme scenarios like natural disasters [8]. - The adoption of satellite remote sensing technology in the banking sector is becoming more widespread, with the costs of network deployment decreasing due to the ongoing commercial space boom [8].

Core Viewpoint - The recent surge in commercial aerospace has prompted banks to actively participate in satellite launches to enhance their risk control capabilities, utilizing satellite remote sensing technology for real-time monitoring of loan projects and collateral status [1][2]. Group 1: Satellite Launches by Banks - Multiple leading banks, including China Merchants Bank and Shanghai Pudong Development Bank, have successfully launched satellites, with the latest being "Zhaoyin Jinkui" and "Puyin Shuzhi" satellites, part of China's first global low-orbit satellite IoT constellation, "Tianqi Constellation" [2][3]. - The satellites are aimed at improving smart risk control and comprehensive service systems, especially in extreme scenarios like natural disasters, enabling rapid recovery and provision of essential financial services [2][3]. Group 2: Applications of Satellite Technology - The satellite technology is being utilized for post-loan monitoring, with China Merchants Bank achieving over 95% accuracy in monitoring construction progress of mortgage properties through high-resolution satellite imagery [2][3]. - The integration of satellite data is expected to enhance risk management and provide more precise financial products and services to clients [3]. Group 3: Industry Trends and Future Outlook - The use of satellite remote sensing technology is becoming an integral part of banks' digital risk control systems, with major banks like ICBC and Bank of China highlighting its role in enhancing credit risk management in their 2025 semi-annual reports [4]. - Smaller banks are also beginning to adopt satellite technology, with institutions like Shanghai Rural Commercial Bank integrating satellite remote sensing with big data and AI to improve risk control capabilities [5]. - As the costs of satellite launches and data procurement decrease, the penetration of satellite remote sensing technology in the banking sector is expected to increase, benefiting larger banks with complex business scenarios [5].

Core Viewpoint - The recent surge in commercial aerospace has prompted banks to actively participate in satellite launches to enhance their risk control capabilities, utilizing satellite remote sensing technology for real-time monitoring of loan projects and collateral status [1][2]. Group 1: Satellite Launches by Banks - Multiple leading banks, including China Merchants Bank and Shanghai Pudong Development Bank, have successfully launched satellites as part of the "Tianqi Constellation," China's first global low-orbit satellite IoT network [2]. - The satellites are aimed at improving smart risk control and comprehensive service systems, particularly in extreme scenarios like natural disasters, enabling rapid recovery and provision of essential financial services [2][3]. - China Merchants Bank's "Zhaoyin Jinkui" satellite is designed for post-loan monitoring, achieving over 95% accuracy in construction progress monitoring through high-resolution satellite imagery [2][3]. Group 2: Industry Trends and Applications - The use of satellite remote sensing technology is becoming increasingly common among banks, with several major banks already implementing it to optimize their business and risk management [3][4]. - The integration of satellite data is seen as a significant upgrade in risk control methods, particularly beneficial in areas like rural revitalization, green finance, and supply chain finance, addressing information asymmetry and reducing credit risks [4]. - Major banks, such as ICBC and Bank of China, have reported plans to enhance their credit risk management through satellite technology in their 2025 semi-annual reports [4]. Group 3: Future Prospects and Challenges - Smaller regional banks are also beginning to engage in satellite technology, with institutions like Shanghai Rural Commercial Bank enhancing their smart supply chain platforms through the integration of satellite remote sensing and other technologies [5]. - Analysts suggest that while the costs associated with satellite launches and data integration are currently high, larger banks are better positioned to adopt these technologies, whereas smaller banks may need to collaborate or procure data services [5]. - As the deployment of low-orbit satellite networks accelerates and data costs decrease, the penetration of satellite remote sensing technology in the banking sector is expected to increase [5].

Core Insights - The leadership of China Merchants Bank's Credit Card Center has changed, with Liu Jialong retiring and Li Mingdong set to take over pending regulatory approval [1][2] Group 1: Leadership Transition - Liu Jialong, a veteran with 30 years at China Merchants Bank, has served multiple terms as the head of the Credit Card Center and has been instrumental in the development of the bank's credit card business [1][4] - Li Mingdong, the incoming general manager, has extensive experience in retail finance and wealth management, having held various senior positions within the bank [1][5] Group 2: Credit Card Business Development - Under Liu Jialong's leadership, the bank's credit card business has been at the forefront of industry innovation, particularly in digital transformation, including the launch of the first mobile app in the industry and the introduction of smart customer service platforms [4] - The bank's credit card issuance has seen significant growth, with over 1 billion cards issued by the end of 2017, although the industry is now facing a decline, with the total number of credit cards in China dropping from 8.07 billion in September 2022 to 7.07 billion in September 2025 [5][6] Group 3: Industry Challenges - The credit card industry is undergoing a transformation from rapid growth to a focus on high-quality development, facing challenges such as risk management, declining consumer spending, and narrowing interest margins [6] - As of September 2025, the bank reported a credit card transaction volume of 20,209.60 billion yuan, a year-on-year decrease of 8.54%, and a decline in both interest and non-interest income [6] - The bank's non-performing loan ratio for credit cards was reported at 1.74% as of September last year, a slight decrease from 1.75% at the end of 2024 [7]

Group 1 - Recent net redemptions in A-share broad-based ETFs have drawn market attention, with significant outflows recorded on January 15 and 16, totaling 687 billion and 863 billion respectively, marking the highest single-day outflows in history [1] - As of January 19, four out of six major broad-based ETFs saw their shares decline by over 10% in the last three trading days, with the largest, Huatai-PB CSI 300 ETF, dropping to 778.63 billion shares, a scale of approximately 369.2 billion, the lowest since August 2024 [1] - The ChiNext and STAR Market ETFs also experienced significant declines, with the E Fund STAR 50 ETF and E Fund ChiNext ETF seeing share reductions of 34.55% and 20.22% respectively [3] Group 2 - In contrast to the outflows from broad-based ETFs, certain commodity, cross-border, and narrow-based ETFs attracted significant inflows, with the Southern Nonferrous ETF being the only product to receive over 10 billion in net inflows, totaling 100.87 billion, driven by rising base metal prices [3] - Other ETFs such as Yongying Satellite ETF, Harvest Software ETF, and GF Media ETF also received net inflows exceeding 6 billion [3] - According to CITIC Securities, the impact of ETF redemptions on individual stocks was significant, with main board, ChiNext, and STAR Market stocks experiencing sell-offs of 946 billion, 334 billion, and 265 billion respectively during the peak outflow days [3] Group 3 - Regulatory measures have been implemented to cool down the market following rapid price increases and overheated sentiment, including raising the minimum margin requirement for margin trading from 80% to 100% [5][6] - The China Securities Regulatory Commission emphasized the need for comprehensive market monitoring and timely counter-cyclical adjustments to maintain market stability and prevent excessive volatility [6] - There are differing views on the long-term outlook for A-shares, with some analysts suggesting the potential for a slow bull market due to reforms, while others remain skeptical about escaping historical volatility patterns [7]

Core Viewpoint - The report highlights the premium rates of AH shares, with Northeast Electric, Zhejiang Shibao, and Junda Co. leading in premium rates, while CATL, China Merchants Bank, and Hansoh Pharmaceutical have the lowest premium rates [1]. Premium Rate Rankings - The top three AH shares by premium rate are: - Northeast Electric (00042) with a premium rate of 815.25% - Zhejiang Shibao (01057) with a premium rate of 386.24% - Junda Co. (02865) with a premium rate of 369.87% [1]. - The bottom three AH shares by premium rate are: - CATL (03750) with a premium rate of -12.69% - China Merchants Bank (03968) with a premium rate of -0.92% - Hansoh Pharmaceutical (01276) with a premium rate of -0.12% [1]. Deviation Values - The top three shares by deviation value are: - Junda Co. (02865) with a deviation value of 138.55% - Goldwind Technology (02208) with a deviation value of 35.44% - Sanhua Intelligent Control (02050) with a deviation value of 18.71% [1]. - The bottom three shares by deviation value are: - Northeast Electric (00042) with a deviation value of -39.75% - Chenming Paper (01812) with a deviation value of -27.60% - China Life (02628) with a deviation value of -19.12% [1]. Additional Premium Rate and Deviation Data - The report includes detailed tables showing the premium rates and deviation values for various AH shares, indicating significant variations among different companies [2].

Core Viewpoint - Morgan Stanley predicts that China Bank (601988) will experience absolute stock price appreciation but may underperform the market by 2026 [1] Group 1: Bank Ratings - Morgan Stanley upgraded the rating of Minsheng Bank (600016) from "Neutral" to "Overweight" [1] - The rating of Agricultural Bank (601288) was downgraded from "Overweight" to "Neutral" [1] Group 2: Market Liquidity and Growth Expectations - Approximately 110 trillion RMB of fixed-term deposits are expected to mature by 2026, including around 7 trillion RMB of excess household savings, which may provide liquidity support to the capital market and boost market performance [1] - The recovery of net interest income and wealth management fees is expected to lead to moderate improvements in revenue and profit growth for domestic banks in 2026 [1] Group 3: Stock Performance Preferences - In the context of high dividend stocks, Morgan Stanley prefers Bank of Communications (601328), China Bank (03988), and China Construction Bank (601939) [1] - Banks such as Ningbo Bank (002142), Shanghai Pudong Development Bank (600000), Industrial Bank (601166), and China Merchants Bank (600036) are seen as having better growth potential [1] - Growth-oriented stocks are expected to outperform high dividend stocks [1]

Core Viewpoint - JPMorgan expects Chinese bank stocks to achieve absolute price increases but may underperform the market by 2026 [1] Group 1: Ratings Changes - JPMorgan upgraded the rating of Minsheng Bank (01988) H-shares from "Neutral" to "Overweight" [1] - JPMorgan downgraded the rating of Agricultural Bank of China (01288) H-shares from "Overweight" to "Neutral" [1] Group 2: Market Predictions - JPMorgan anticipates approximately 110 trillion RMB in time deposits maturing by 2026, including around 7 trillion RMB in excess household savings, which could provide liquidity support to the capital market and boost market performance [1] - The bank expects a moderate improvement in revenue and profit growth for domestic banks in 2026, driven by a recovery in net interest income and wealth management fees [1] Group 3: Stock Preferences - Among high-dividend stocks, JPMorgan prefers Bank of Communications (601328.SH), Bank of China (03988), and China Construction Bank (00939) [1] - Banks such as Ningbo Bank (002142.SZ), Shanghai Pudong Development Bank (600000.SH), Industrial Bank (601166.SH), and China Merchants Bank (03968)(600036.SH) are seen as having good growth potential [1] - JPMorgan predicts that growth-oriented stocks will outperform high-dividend stocks [1]

Core Viewpoint - Morgan Stanley forecasts that domestic bank stocks will experience absolute price increases but may underperform the market by 2026 [1] Group 1: Market Outlook - The bank anticipates approximately 110 trillion yuan in time deposits maturing by 2026, including around 7 trillion yuan in excess household savings, which could provide liquidity support to the capital markets and boost market performance [1] - The recovery in net interest income and wealth management fees is expected to lead to moderate improvements in revenue and profit growth for domestic bank stocks by 2026 [1] - Despite the liquidity-driven rally, bank stocks may lag in performance compared to the overall market [1] Group 2: Stock Preferences - Among high-dividend stocks, the bank prefers Bank of Communications and China Construction Bank [1] - Ningbo Bank, Shanghai Pudong Development Bank, Industrial Bank, and China Merchants Bank are identified as having better growth potential [1] - The bank upgraded the rating of Minsheng Bank from "Neutral" to "Overweight," while downgrading Agricultural Bank of China from "Overweight" to "Neutral" [1]