Fund Overview - The fund is named Dongxing Industrial Upgrade Mixed Initiating Securities Investment Fund, with codes A class 024396 and C class 024397 [10] - It is a contract-based open-end mixed securities investment fund with an indefinite duration [10] - The initial value of the fund shares is set at RMB 1.00 [10] Fund Offering Details - The fund will be publicly offered from August 4, 2025, to August 15, 2025 [14] - The minimum initial subscription amount for A class shares through direct sales is RMB 10,000, while for C class shares, it is RMB 1 [22][23] - Investors can only open one fund account with the company, and existing account holders are exempt from reapplying [2] Subscription and Fees - A class shares require a subscription fee, while C class shares do not [12][13] - The subscription fee for A class shares is detailed in a table, and the fund management can adjust promotional plans based on market conditions [13] - Investors must ensure that their subscription funds are received in the company's designated account by the deadline to avoid invalid subscriptions [30] Fund Management and Custody - The fund manager is Dongxing Fund Management Co., Ltd., and the custodian is Bank of Beijing Co., Ltd. [43] - The fund management company has the authority to adjust the fundraising arrangements as necessary [15] Investor Eligibility - The fund is open to individual investors, institutional investors, qualified foreign investors, and other investors permitted by laws and regulations [10] - Investors must provide various documentation to open accounts and subscribe to the fund, including identity verification and risk assessment forms [26][33] Fund Operation and Risk Management - The fund will manage and utilize assets according to the principles of diligence, honesty, and prudence, aiming to maximize investment returns while controlling risks [8] - The fund's net value may fluctuate with market conditions, and investors should be aware of the potential for both gains and losses [8]

Core Insights - The trend of shutting down and integrating banking apps continues, with Zhuhai China Resources Bank announcing the termination of its "Run Wallet App" service, reflecting a broader industry shift towards digital transformation aimed at reducing operational costs and enhancing efficiency [1][2] Summary by Category App Shutdown and Integration - Zhuhai China Resources Bank will officially stop the "Run Wallet App" service on October 15, 2025, migrating its functions to the China Resources Bank App for a one-stop service [2] - Many banks, including state-owned and joint-stock banks, are accelerating the consolidation of their apps, particularly focusing on credit card and direct banking apps [2][3] - The number of available credit card apps has significantly decreased, with most remaining apps concentrated among major state-owned banks, while city commercial banks and rural commercial banks have seen a decline in their credit card app offerings [2] Industry Trends - The integration of credit card and direct banking apps is driven by the need for banks to adapt to changing industry dynamics, as these apps have overlapping functions and are becoming less relevant [3][4] - The trend began several years ago, with banks starting to optimize channels and integrate apps, which has accelerated since 2023 [4] Reasons for Integration - The primary reasons for app consolidation include a shift from broad operations to more targeted approaches, focusing on enhancing user experience and operational efficiency [4] - Regulatory policies have also played a role, with the National Financial Regulatory Administration issuing guidelines to strengthen the management of mobile applications in the banking sector [4] Future Directions - The future of banking apps is expected to focus on three main trends: scenario-based integration, comprehensive ecosystem development, and intelligent upgrades through technology [6] - Banks aim to create a "financial + scenario ecosystem" that integrates various life services, enhancing user engagement and loyalty [6]

Investment Rating - The report assigns a rating of "Buy" for Beijing Bank [10]. Core Views - Beijing Bank is a leading city commercial bank with a broad national presence, focusing its credit structure on core regions such as the Yangtze River Delta. The bank has seen a recovery in corporate lending, which has driven credit growth as historical risks have been cleared [2][6]. - The bank's asset-liability structure is stable with low volatility, resulting in a net interest margin that fluctuates less than its peers. The cost of deposits is expected to continue improving, enhancing the bank's competitive edge [2][8]. - The non-performing loan ratio has decreased, with expectations for further improvement in asset quality and provisioning [2][9]. - The bank's projected price-to-book (PB) ratio for 2025 is 0.50x, indicating significant undervaluation compared to its peers in the banking sector [2][10]. Summary by Sections Regional Layout - Beijing Bank has established 628 branches across 12 provinces, municipalities, Hong Kong, and Amsterdam, optimizing its branch network for efficiency. The credit structure has shifted towards the Yangtze River Delta, with loan growth in Shanghai, Zhejiang, and Jiangsu expected to reach a compound annual growth rate of 17% from 2021 to 2024 [6][22]. Asset-Liability Structure - The bank's asset structure is more aligned with joint-stock banks, with a higher loan-to-asset ratio and lower financial investment ratio compared to peers. This stability results in a net interest margin of 1.47% for 2024, with lower volatility in earnings due to a higher proportion of loans [8][38]. Corporate Loan Risk Management - The bank has effectively managed corporate loan risks, with a non-performing loan ratio projected to decrease to 1.30% by the end of Q1 2025. The bank has maintained a stable net generation rate of non-performing loans, with a focus on managing risks in the real estate sector [9][20]. Profitability and Investment Recommendations - The bank is viewed as a stable dividend asset with a consistent payout ratio of around 30%. The expected dividend yield for 2025 is 4.7%, making it an attractive investment opportunity. The bank's valuation is significantly undervalued at a projected PB of 0.50x, warranting a "Buy" rating [10][12].

Group 1 - The event aimed to address the financing challenges faced by specialized and innovative enterprises in Yantai, highlighting the need for tailored financial solutions to support their growth [2][3] - Yantai is positioned as a key city in the Bohai Economic Circle and the core engine of the Shandong Peninsula Blue Economic Zone, hosting over 1,500 specialized and innovative enterprises that are crucial for innovation [2] - Financial institutions are encouraged to develop personalized financial products targeting the 16 key industrial chains in Yantai, with a focus on creating a robust industrial financial ecosystem [2][3] Group 2 - Beijing Bank's Yantai branch expressed its ambition to become the leading bank for specialized and innovative enterprises, showcasing its service experience with over 26,000 such companies [3] - The bank introduced new financial products like "Leading e-loan" and "Science and Technology e-loan" to provide comprehensive credit support for innovative SMEs and specialized "little giants" [3] - The event served as a platform for collaboration among various stakeholders, aiming to create a comprehensive shared ecosystem that integrates financial capital with industrial innovation [3][4] Group 3 - Influential experts shared insights on key financial topics relevant to enterprise growth, including pathways to listing and the financialization of intangible assets [4] - The event was described as a timely solution for specialized and innovative enterprises, facilitating collaboration and resource sharing among participants [4] - Yantai's Industrial and Information Technology Bureau and Beijing Bank's Yantai branch committed to organizing more targeted matchmaking activities to enhance cooperation beyond the event [4]

Core Insights - The State Administration of Foreign Exchange (SAFE) has reported significant progress in foreign exchange business reform, with 22 banks now participating in the initiative, which aims to enhance cross-border trade and investment facilitation [1][2] Group 1: Bank Participation - The 22 participating banks include 4 large banks, 9 joint-stock banks, 4 city commercial banks, and 5 foreign banks, indicating a diverse representation across the banking sector [2] - New entrants to the foreign exchange business reform this year include major banks such as China Construction Bank and foreign banks like Standard Chartered and JPMorgan [2] Group 2: Reform Impact - The foreign exchange business reform has streamlined processes, reducing the average time for quality clients to complete foreign exchange transactions by over 50%, thus providing tangible benefits to enterprises [3] - The number of classified quality clients has increased by 23% compared to the end of 2024, with over $200 billion in cross-border payment transactions processed based on client instructions this year [3] Group 3: Policy Framework - The foreign exchange business reform is a key component of the "more integrity, more convenience" policy framework, which aims to enhance foreign exchange services for the real economy [4] - The reform includes a focus on supporting technology-driven and small enterprises, optimizing due diligence processes, and establishing evaluation mechanisms for foreign exchange management policies [4]

Core Viewpoint - The AI Fund Huatai-PineBridge Dividend Growth Mixed A (006259) reported a profit of 5.4346 million yuan for Q2 2025, with a net asset value growth rate of 0.82% and a fund size of 735 million yuan as of the end of Q2 2025 [3][15]. Fund Performance - The fund's weighted average profit per share for the reporting period was 0.0104 yuan [3]. - As of July 18, 2025, the unit net value was 1.598 yuan [3]. - The fund's performance over different time frames includes: - 3-month net value growth rate: 6.13%, ranking 210 out of 256 comparable funds [4]. - 6-month net value growth rate: 9.21%, ranking 144 out of 256 comparable funds [4]. - 1-year net value growth rate: 9.40%, ranking 203 out of 256 comparable funds [4]. - 3-year net value growth rate: -11.24%, ranking 108 out of 239 comparable funds [4]. Investment Strategy and Outlook - The fund manager anticipates a gradual reduction in overseas tariff impacts and a slow improvement in the domestic low-inflation environment, expecting macro policies to support economic recovery [4]. - The liquidity environment is expected to remain ample, with potential interest rate cuts from the Federal Reserve and the domestic central bank [4]. - The fund maintains a balanced industry allocation, focusing on high-quality companies with long-term value in a dividend strategy [4]. Risk Metrics - The fund's Sharpe ratio over the past three years is -0.1277, ranking 160 out of 240 comparable funds [9]. - The maximum drawdown over the past three years is 30.07%, ranking 194 out of 240 comparable funds, with the largest single-quarter drawdown recorded at 20.81% in Q1 2021 [11] [11]. Portfolio Composition - As of June 30, 2025, the fund's average stock position over the past three years was 77.62%, compared to the industry average of 85.68% [14]. - The top ten holdings of the fund include: - Zijin Mining - China Shenhua - Agricultural Bank of China - Tencent Holdings - Shanghai Pudong Development Bank - Shanghai Bank - Beijing Bank - China Yangtze Power - Bank of China - China Pacific Insurance [18].

Core Viewpoint - Beijing Bank is actively expanding its personal pension services in response to the nationwide implementation of the personal pension system starting December 15, 2024, aiming to enhance customer satisfaction and operational efficiency through innovative technology solutions [1][8]. Group 1: Business Development - Beijing Bank was one of the first commercial banks authorized to offer personal pension services, launching its operations on November 25, 2022, and has since adhered to a customer-centric service philosophy [1]. - As of February 2025, the number of personal pension accounts opened by Beijing Bank has exceeded 1.8 million [1]. - The bank introduced a reservation system for non-pilot cities on August 29, 2023, to prepare for the nationwide rollout of the personal pension system [2]. Group 2: Technological Innovation - Beijing Bank developed the "P1/P2 Account Opening Method" to facilitate rapid account opening for reservation customers, significantly reducing processing time and enhancing customer experience [2][6]. - The account opening process was optimized, with the P1 phase now accounting for only 14% of the total processing time, greatly improving operational efficiency [3]. - The bank implemented a distributed microservices architecture to support high concurrency and performance in the account opening process [3][5]. Group 3: Operational Efficiency - On December 15, 2024, Beijing Bank successfully opened personal pension accounts for 137,000 customers, achieving a high conversion rate of 92% for reservations [8]. - The bank's coordinated efforts led to surpassing 1.7 million personal pension accounts opened on the first day of the nationwide rollout [8]. - The bank's management interface allows for real-time monitoring of account opening statistics and supports flexible resource allocation during peak times [7]. Group 4: Future Strategy - Beijing Bank plans to continue leveraging digital strategies to enhance its pension services, targeting customers who have not yet opened accounts or made contributions [8][9]. - The bank aims to introduce a range of financial products, including government bonds and index funds, to diversify investment options for customers [8]. - The bank is committed to a comprehensive digital transformation strategy, focusing on providing high-quality services to its aging customer base [9].

Core Viewpoint - Beijing Bank aims to become an "AI-driven commercial bank" to support the high-quality development of the digital economy [1][4] Group 1: Digital Transformation and AI Integration - Beijing Bank has entered a comprehensive digital operation phase, implementing the "All in AI" concept, integrating AI throughout its financial services [3][5] - The bank has achieved significant results in its digital transformation, establishing a unified data platform and risk control system [1][3] - Future plans include creating a new paradigm for digital banking, focusing on deep integration of AI with its strategic layout [3][5] Group 2: Support for Digital Economy - The bank is focusing on national strategic emerging industries and future industries, enhancing its supply chain financial services to support small and micro enterprises [4][6] - Beijing Bank aims to support key technology breakthroughs and domestic replacements, reinforcing the security of industrial and supply chains [4][5] Group 3: Trends in Digital Economy - The strategic position of the digital economy is significantly enhanced, with projections indicating that by 2024, the core industry value added will account for about 10% of GDP [5] - Data production is expected to grow by 25% year-on-year in 2024, with the data transaction scale surpassing 160 billion yuan, reflecting a 30% increase [5] - The digital economy is driving a revolutionary change in supply chain models, enhancing operational efficiency and resilience through technologies like AI and blockchain [5][6] Group 4: Financial Service Innovations - Beijing Bank is developing five key financial service chains: technology finance, supply chain finance, merger finance, cross-border finance, and customer growth lifecycle services [6][7] - The bank has established a specialized service structure for technology finance, focusing on supporting innovative enterprises throughout their growth [6][7] - The supply chain finance system is AI-driven, with a focus on product, service, and scenario innovation, serving over a thousand core enterprises [6][7]

Core Viewpoint - The issuance of "perpetual bonds" and "subordinated bonds" by commercial banks in China has significantly accelerated, particularly in the second quarter, with a total issuance of 894.56 billion yuan across 57 bonds by July 15, 2023 [1] Group 1: Issuance Trends - The issuance volume of "perpetual bonds" and "subordinated bonds" has notably increased in the second quarter, with 43 bonds issued totaling 638.7 billion yuan, compared to only 9 bonds and 173.86 billion yuan in the first quarter [2] - Major state-owned banks, including Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, and China Construction Bank, have been the primary issuers, with significant amounts raised in May 2023 [2] Group 2: Reasons for Acceleration - The acceleration in issuance is driven by stricter regulatory requirements, necessitating banks to enhance their capital levels to meet standards and mitigate potential risks, especially under the pressures of credit expansion and non-performing asset management [2][3] - Increased support for the real economy has also prompted banks to strengthen their capital bases to facilitate higher credit disbursements [3] Group 3: Challenges for Smaller Banks - While state-owned banks lead in issuance, smaller banks, including regional and rural commercial banks, have seen a significant increase in issuance compared to the previous year, highlighting their capital replenishment pressures [4][5] - Smaller banks face challenges in capital replenishment due to limited internal capital generation capabilities and constrained external funding options, making the issuance of "perpetual bonds" and "subordinated bonds" crucial [5] Group 4: Future Outlook - The issuance of "perpetual bonds" is expected to continue, with a divergence in supply between different types of banks; state-owned banks may see a decrease in issuance due to reduced capital pressures, while smaller banks will remain active participants in the market [8] - Smaller banks may encounter higher funding costs and weaker subscription conditions when issuing "perpetual bonds," necessitating improvements in operational quality and brand image to enhance their issuance capabilities [8]

Core Viewpoint - Beijing Bank has announced the implementation of its preferred stock dividend distribution plan, with a fixed dividend rate of 4.20% for the preferred stock "Bei Yin You 2" [1][5]. Dividend Distribution Plan - The dividend rate for Bei Yin You 2 during the second adjustment period is set at 4.20%, based on the benchmark interest rate as of July 25, 2021, plus a fixed premium determined at the time of initial pricing [1]. - The total cash dividend to be distributed amounts to RMB 546 million (including tax), with each share receiving a cash dividend of RMB 4.20 (including tax) [1][2]. - The dividend distribution will be applicable to all shareholders of Bei Yin You 2 registered with the China Securities Depository and Clearing Corporation Limited, Shanghai Branch, as of the market close on July 25, 2025 [1]. Taxation Details - For resident enterprise shareholders as defined by the Corporate Income Tax Law of the People's Republic of China, the cash dividend income tax is to be paid by the shareholders themselves, resulting in an actual cash dividend of RMB 4.20 per share [2]. - Other shareholders will follow relevant regulations for the payment of cash dividend income tax [3]. Dividend Payment Schedule - The dividend payment date for Bei Yin You 2 is set for July 28, 2025, with the last trading day on July 24, 2025, and the record date on July 25, 2025 [4][5]. - The ex-dividend date is also July 25, 2025 [5]. Contact Information - For inquiries, shareholders can contact the Board Office of Beijing Bank at 010-66223826 [6].