Investment Rating - The report does not explicitly state an investment rating for the industry or specific companies Core Insights - The report highlights that China's innovative drug research and development is experiencing high-quality growth, significantly outpacing the global average, establishing China as a key player in the global innovative drug market [11] - The medical device sector is seeing a recovery in bidding scale, with a positive outlook for domestic companies as they expand internationally [11] - The CXO and raw material drug sectors are expected to benefit from a recovering financing environment and increasing demand, with several companies showing strong growth potential [11] - The report emphasizes the importance of AI and emerging technologies in transforming the healthcare industry [11] Market Overview - The CITIC pharmaceutical index increased by 0.41%, underperforming the CSI 300 index by 0.67 percentage points, ranking 24th among 30 primary industries [8] - The top ten stocks by increase included Aidi Te, Koyuan Pharmaceutical, and Duorui Pharmaceutical, while the top ten stocks by decrease included Zexing Pharmaceutical and Meihua Medical [8] Sector Analysis Innovative Drugs - The report suggests focusing on companies like Bai Li Tianheng, Bai Ji Shen Zhou, and Heng Rui Pharmaceutical due to their strong growth prospects in innovative drug development [11] Medical Devices - High-value consumables are expected to see a value reassessment as collection pressures ease, with companies like Spring Medical and Maipu Medical recommended for investment [11] CXO and Raw Material Drugs - The report indicates a positive outlook for CXO companies, with a recovery in orders expected to translate into performance improvements [11] - The raw material drug sector is anticipated to benefit from price stabilization and increased demand for high-end markets [11] Traditional Chinese Medicine - The report highlights the potential for growth in traditional Chinese medicine, particularly in proprietary basic drugs and OTC products, with companies like Kunming Pharmaceutical and Kangyuan Pharmaceutical recommended [11] Pharmacy Sector - The report expresses optimism for the pharmacy sector, driven by prescription outflow and market optimization, recommending companies like Yibao Pharmacy and Dazhenglin [11] Medical Services - The medical services sector is expected to return to a growth trajectory as the negative impacts of medical reform diminish, with companies like Tongce Medical and Aier Eye Hospital highlighted [11] Blood Products - The blood products sector is projected to grow due to relaxed approval processes and increasing demand, with companies like Tiantan Biological and Boya Biological recommended [11]

Investment Rating - The report maintains a "Buy" recommendation for the transportation sector, emphasizing the importance of performance during the earnings window [1]. Core Insights - The transportation industry shows strong resilience in fundamentals, with a focus on high dividend yield quality assets in the sector [1]. - The report highlights that the performance of dividend assets (highways, railways, ports) has been generally underwhelming, lagging behind the transportation index [4][10]. - The low interest rate environment continues to support market conditions, with a notable increase in port transaction volumes [18][21]. Monthly Market Performance - The performance of dividend assets was generally poor, underperforming the transportation index [4][10]. - From February 1 to February 27, 2026, the cumulative performance of highways, railways, and ports was +0.56%, +1.15%, and +3.33%, respectively, with only ports outperforming the Shanghai and Shenzhen 300 index [10]. - Year-to-date, highways, railways, and ports have seen cumulative performance of -0.56%, -1.87%, and +7.45%, respectively [10]. Market Environment - The interest rate environment remains low, with the 10-year government bond yield at 1.79% as of February 27, 2026, down from 1.81% at the end of January [20]. - Port daily average transaction volumes have increased significantly, with railways up 37.3% year-on-year and ports up 92.9% [21]. Capital Operations - Anhui Wantuo Highway plans to invest CNY 5.42 billion in the expansion of the G30 Lianhuo Expressway in Anhui [26][27]. Highway Sector Tracking - In December 2025, highway passenger volume was 961 million, down 2.6% year-on-year, while freight volume was 3.797 billion tons, up 0.6% [28][29]. Railway Sector Tracking - In January 2026, railway passenger volume was 349 million, down 5.2% year-on-year, while freight volume was 438 million tons, up 3.6% [47]. Port Sector Tracking - Key monitored ports reported a total cargo throughput of 9.62 billion tons from January 26 to February 22, 2026, up 15.1% year-on-year [56].

Investment Rating - The report maintains a "Recommend" rating for the hotel sector, indicating a positive outlook for investment opportunities in this industry [2][4]. Core Insights - The overall performance of tourism consumption during the Spring Festival met expectations, with visitor numbers reaching historical highs. The report anticipates that service consumption will continue to be a major driver of domestic demand, supported by upcoming holidays and policies [3][12]. - The hotel sector shows inflation potential, with hotel prices performing better than expected. The industry may experience a small prosperity cycle driven by the iteration of tourism demand and supply [3][25]. - New supply in scenic areas is highlighted as an important focus for the future of the sector. The report emphasizes that the core competitive elements of tourism products will be experience and content, with significant growth potential in theme parks and cruises [3][12]. - Local governments are increasingly utilizing capital markets for the securitization and restructuring of cultural and tourism assets, which is also seen as a source of unexpected growth [3]. Summary by Sections Overall & Transportation - During the 2026 Spring Festival holiday, approximately 2.808 billion people traveled, with an average of 311 million daily, marking a year-on-year increase of 8.2%. This was the highest travel scale recorded [11][12]. - Various transportation modes saw significant growth, with waterway passenger volume increasing by 29.5% year-on-year [11][12]. Hotel Sector - The hotel industry demonstrated strong pricing power during the Spring Festival, attributed to high demand during peak travel periods. The report predicts a more optimistic outlook for hotel RevPAR growth driven by tourism demand [25][42]. Duty-Free Shopping - Duty-free shopping in Hainan showed positive results, with sales and visitor numbers increasing significantly compared to the previous year. The report notes that the post-holiday period will be an important observation window for duty-free sales [37][38]. Restaurant Sector - Restaurant sales during the holiday period increased by 8.6% compared to the previous year, driven by tourism and leisure consumption. The report indicates that while customer traffic and sales growth are close, there is still a lack of upward momentum in pricing [42][49]. Tourism Trends - Visitor numbers in various provinces reached historical highs during the Spring Festival, with significant growth observed in lower-tier cities. The report highlights that popular local activities have become key drivers of tourism growth [45][46].

Investment Rating - The report maintains a recommendation for the six-seat SUV industry, highlighting both blue ocean opportunities and red ocean competition [2] Core Insights - The six-seat SUV market is expected to see the launch of five new models priced around 200,000 yuan in 2026, with top models potentially achieving monthly sales of 10,000 to 20,000 units [2][22] - The high-end six-seat SUV market is experiencing intense competition, with a significant increase in supply expected in 2026, outpacing market expansion [2][6] - The 200,000 yuan segment remains a potential blue ocean market, as current models often fail to meet consumer demands due to size and pricing issues [6][24] Summary by Sections Total Market Overview - The six-seat SUV market is projected to grow, with an estimated total of 150,000 units sold in 2025, reflecting a year-on-year increase of 21,000 units [13] - The market is expected to continue expanding with the introduction of new models, particularly in the 200,000 yuan segment [6][10] Blue Ocean Opportunities - The 200,000 yuan segment for six-seat SUVs is identified as a significant market opportunity, with current models not meeting consumer expectations in terms of size and pricing [6][22] - The report notes that the proportion of six-seat SUVs priced below 250,000 yuan is only 4.9%, compared to 28% for those above this price point, indicating room for growth [24] Red Ocean Competition - The high-end six-seat SUV market is set to intensify with 22 new models expected to launch in 2026, leading to fierce competition [2][6] - The report highlights a shift in product strategy from size combinations to price combinations, indicating evolving consumer preferences [2][10] Investment Recommendations - The report suggests focusing on companies like Leap Motor and Great Wall Motors, with specific models expected to drive significant sales growth [7][10] - Geely is also recommended due to its ongoing product cycle contributing to sales and profit increases [7][10]

Investment Rating - The report maintains a "Buy" rating for Hong Kong Exchanges and Clearing Limited (0388.HK) with a target price of HKD 516.9 [2][9]. Core Insights - The company reported a significant increase in revenue and net profit for 2025, with total revenue reaching HKD 29.161 billion (up 30.3% year-on-year) and net profit attributable to shareholders at HKD 17.754 billion (up 36.0% year-on-year) [2][10]. - The report highlights a strong performance in the cash market, driven by increased investor interest in Chinese assets and international capital inflow, resulting in a 90% year-on-year increase in average daily trading volume [3][4]. - The number of new listings in Hong Kong reached 119 in 2025, a 48-company increase year-on-year, with total fundraising amounting to HKD 286.9 billion (up 227% year-on-year), positioning Hong Kong as a leading market for IPOs globally [4][9]. Summary by Relevant Sections Financial Performance - In Q4 2025, the company achieved revenue of HKD 7.310 billion (up 14.6% year-on-year) and net profit of HKD 4.335 billion (up 14.7% year-on-year) [2]. - The cash segment generated revenue of HKD 14.704 billion (up 56.1% year-on-year), with trading fees and related services contributing HKD 13.291 billion (up 64.1% year-on-year) [3]. Market Activity - The average daily trading amount in the cash market reached HKD 249.8 billion (up 90% year-on-year), with northbound and southbound trading through the Stock Connect increasing by 42% and 151% respectively [3]. - The report notes that the overall market activity has significantly improved, with the number of IPO applications rising to 345 (up 311% year-on-year) [4]. Revenue Structure - The revenue composition indicates that trading and related fees accounted for 64.7% of total revenue (up 6.4 percentage points year-on-year), while listing fees contributed 6.1% (down 0.5 percentage points year-on-year) [9]. - Investment income netted HKD 5.111 billion (up 3.7% year-on-year), with a total investment return rate of 1.32% [9]. Future Outlook - The report anticipates continued growth in the company's earnings per share (EPS), projecting HKD 14.77 for 2026, HKD 16.34 for 2027, and HKD 17.87 for 2028, with corresponding price-to-earnings (PE) ratios of 28, 25, and 23 times [9][10]. - The company is expected to enhance its liquidity pool and market efficiency while developing a diversified asset ecosystem, indicating strong growth potential [9].

1. Report Industry Investment Rating No information about the report industry investment rating is provided in the content. 2. Core Viewpoints of the Report - Short - term, be aware of bond market disturbances caused by the boost in equity risk preference and positive economic data. Mid - term, the capital and institutional behavior are relatively favorable, so investors can make arrangements during market fluctuations [8][11][99]. - There's no need to overly worry about the bond supply - demand pattern at the end of the quarter. The supply side has a high maturity volume of government bonds in March with limited net financing. The demand side, though the power of allocation funds weakens, still has support. The bond - selling pressure of banks is controllable. Insurance companies usually allocate the remaining funds after the Two Sessions [8][11][99]. - Non - bank funds usually recover gradually near the second quarter. The allocation of wealth management products to the bond market often increases in April. Some non - bank funds may seize opportunities in advance at the end of the quarter. Pay attention to the increased probability of success in the bond market after the Two Sessions [8][11][99]. 3. Summary According to the Directory 3.1 1 - month Central Bank Balance Sheet and Custody Volume Interpretation 3.1.1 2026 January Central Bank Balance Sheet Changes - The central bank's balance sheet size increased from 48.16 trillion yuan to 49.32 trillion yuan, up 11599 billion yuan. The main increase item on the asset side is "claims on other depository corporations", and the main decrease item is "claims on other financial corporations". On the liability side, the main increase items are "government deposits" and "currency issuance", and the main decrease item is "deposits of other depository corporations" [16]. - **Asset side**: The central bank actively injected "long - term" liquidity. "Claims on other depository corporations" increased significantly. The central bank injected long - term liquidity to offset the impact of the approaching Spring Festival and the fast supply of government bonds. The net investment of innovative tools was 3493 billion yuan, close to the 2915 - billion - yuan increase in the "ChinaBond - Other" account. With the improvement of equity risk preference, the central bank's market - stabilizing tools were gradually withdrawn, and "claims on other financial corporations" decreased by 2239 billion yuan [17][23][28]. - **Liability side**: "Deposits of other depository corporations" seasonally flowed to "government deposits" and "currency issuance". January is a big tax - paying month, and with the approaching Spring Festival, "government deposits" and "currency issuance" consumed some reserves [25]. 3.1.2 Impact of January 2026 Central Bank Operations on Custody Volume - In terms of quantity, the scale of innovative tools is consistent with the change in the custody volume account. The net investment of innovative tools was 3493 billion yuan, and the balance of the "ChinaBond - Other (Central Bank)" account increased by 2915 billion yuan. - In terms of structure, the main incremental bond types are treasury bonds and policy - financial bonds. The "ChinaBond - Other (Central Bank)" item mainly increased treasury bonds (1716 billion yuan) and policy - financial bonds (1123 billion yuan), and the increase in local government bonds decreased from 1389 billion yuan to 81 billion yuan [28]. 3.2 Leverage Ratio - The combination of loose funds and a bullish bond market led to a strong institutional leverage sentiment. In January 2026, although funds fluctuated briefly, they generally ran smoothly. The average monthly trading volume of the whole - market pledged repurchase increased from 8.0 trillion yuan in December to 8.1 trillion yuan in January and further to 8.8 trillion yuan in early February. The average leverage ratio of bond funds decreased from 121.4% in December 2025 to 120.0% in January and rebounded to 121.1% since February. The leverage levels in January and February were higher than the same period of the previous year [34]. 3.3 By Institution - **Banks**: - **Large banks**: They bought long - term treasury bonds beyond the season, driving the narrowing of the 10 - 1 - year spread. In January, large - bank bond investment was at a high level. Benefiting from the good start of deposits, better - than - expected retention rates, and the relaxation of the EVE indicator, they bought 7 - 10 - year treasury bonds beyond the season. Since February, their preference for certificates of deposit has strengthened [52]. - **Small and medium - sized banks**: They mainly increased their holdings of certificates of deposit and ultra - long - term bonds, driving the compression of the spread. In January, they adopted a dumbbell strategy, mainly increasing their holdings of certificates of deposit, 7 - 10 - year policy - financial bonds, and 20 - 30 - year treasury bonds. Since February, they continued to prefer certificates of deposit but took profits on 7 - 10 - year policy - financial bonds and 20 - 30 - year treasury bonds [56]. - **Insurance companies**: Benefiting from the rapid growth of dividend - insurance income, their bond - allocation strength was at a seasonal high in January, mainly increasing their holdings of government bonds. They mainly increased their holdings of 15 - 30 - year local government bonds and bought certificates of deposit and perpetual bonds to maintain liquidity. Since February, they sold certificates of deposit and perpetual bonds to extract liquidity and continued to rigidly allocate 15 - 30 - year local government bonds [64]. - **General funds**: - **Funds**: In early January, they sold a large amount of bonds due to multiple negative factors. Since the middle of the month, their bond - allocation sentiment improved, and the duration was extended. The share of bond ETFs resumed growth in February [75]. - **Wealth management products**: After the New Year, the scale of wealth management products did not return as expected. Affected by the Spring Festival cash - withdrawal demand, the bond - allocation scale in January and February was weak [77]. - **Foreign investors**: The comprehensive income of foreign investors from buying certificates of deposit remained at a low level, and they continued to have a net outflow, mainly reducing their holdings of certificates of deposit and treasury bonds. In January 2026, the comprehensive income of foreign investors from buying certificates of deposit decreased, and the bond custody volume of overseas institutions decreased by 1078 billion yuan, mainly reducing their holdings of 938 - billion - yuan certificates of deposit and 209 - billion - yuan treasury bonds [87]. 3.4 By Bond Type - In January, the incremental custody volume of the bond market increased, with government bonds being the main support, and the contraction of certificates of deposit accelerated. The incremental custody volume of the bond market increased from 3026 billion yuan to 7576 billion yuan. Government bonds were the main support, with treasury bonds and local government bonds increasing by 4270 billion yuan and 5494 billion yuan respectively. The incremental scale of certificates of deposit decreased from - 6224 billion yuan to - 6562 billion yuan [90]. - **Interest - rate bonds**: The net financing scale increased month - on - month. The issuance rhythm of local government bonds was significantly faster than the same period last year. In January, the net financing scale of interest - rate bonds increased from 4789 billion yuan to 13312 billion yuan, significantly higher than 10335 billion yuan in the same period last year [94]. - **Certificates of deposit**: Banks had limited willingness to renew issuance, and certificates of deposit had negative growth for three consecutive months. Since November, the central bank's capital injection has maintained the characteristic of "short - term withdrawal and long - term injection". Banks' overall liability - side pressure was not large, and their willingness to renew certificates of deposit was limited. In January, the net financing of certificates of deposit further decreased to - 6230 billion yuan, and the incremental custody volume decreased from - 6224 billion yuan to - 6562 billion yuan [98].

Investment Rating - The report assigns a "Buy" rating to WuXi XDC (02268.HK) for the first time, with a target price of HKD 80, compared to the current price of HKD 58.35 [2][11]. Core Insights - WuXi XDC is positioned to enter a commercialization phase, leveraging its end-to-end integrated CRDMO services and industry-leading technology platform to solidify its leading position in the bioconjugate drug CRDMO sector [1][15]. - The bioconjugate drug industry is experiencing rapid growth, with ADC drugs expected to reach USD 66.2 billion by 2030, and WuXi XDC projected to capture over 24% of the global ADC outsourcing market by 2025 [1][9]. Summary by Relevant Sections Company Overview - WuXi XDC is a joint venture between WuXi Biologics and Hengrui Medicine, focusing on ADC and broader bioconjugate drug markets, providing comprehensive CRDMO services [15][17]. Financial Projections - Revenue projections for WuXi XDC are as follows: - 2024: HKD 4,052 million - 2025: HKD 5,922 million (growth of 46.1%) - 2026: HKD 8,011 million (growth of 35.3%) - 2027: HKD 10,461 million (growth of 30.6%) - Net profit projections are: - 2024: HKD 1,070 million - 2025: HKD 1,481 million (growth of 38.5%) - 2026: HKD 1,989 million (growth of 34.3%) - 2027: HKD 2,600 million (growth of 30.7%) [2][11]. Industry Trends - The bioconjugate drug industry is rapidly expanding, with ADC drugs being the primary focus. The report highlights the emergence of several blockbuster ADC drugs, with six expected to exceed USD 1 billion in sales by 2025 [9][32]. - The outsourcing rate for ADC drugs is projected to remain high at approximately 60%, benefiting companies like WuXi XDC [9][29]. Technological Strengths - WuXi XDC boasts strong technical capabilities with proprietary technologies such as WuXiDARx™, X-LinC conjugation technology, and various payload conjugation platforms, enhancing its competitive edge [7][10]. Capital Expenditure and Growth Strategy - The company plans to invest HKD 1.7 billion in capital expenditures by 2026 to support its global dual-factory production strategy, enhancing its capacity for conjugated raw materials and formulations [7][10]. Market Position - WuXi XDC is expected to have a significant market share in the global ADC outsourcing market, projected to reach over 24% by 2025, reflecting its strong growth trajectory and market demand [1][9].

证 券 研 究 报 告 主要观点 【宏观快评】 ❖ 核心观点：在近期人民币升值明显提速背景下，央行下调远期售汇风险准备金 率，叠加逆周期因子影子迭创新高，或反映央行抑制人民币过快升值波动的决 心。叠加本身近期人民币升值明显提速背后或主要受短期脉冲因素的影响（春 节错位导致出口脉冲，季节性净结汇，积压待结汇释放），且目前美元也没看 到持续单边走弱的趋势动能，因此我们认为当前人民币的升值速率是不可持 续的。 汇率出招了，怎么看？——远期售汇风险准 备金率下调分析 回归汇率基本面来看，核心是出口的强劲，能否带动预期改善，形成有持续性 的净结汇流入。目前从外需领先指标来看，出口或维持偏强韧性，且中期来看， 中游制造的外需景气或持续支撑出口；国内基本面也有改善迹象（如 1 月 PPI 释放积极信号），后续需等待基本面复苏的进一步验证。综上，我们对人民币 中期波动稳定升值的方向有信心，但短期如此快的升值速率或不可持续（短期 因素消退+政策抑制过快升值波动）。 事 项 为促进外汇市场发展，支持企业管理好汇率风险，中国人民银行决定自 2026 年 3 月 2 日起，将远期售汇业务的外汇风险准备金率从 20%下调至 0。 ❖ ...

事项： 证 券 研 究 报 告 香港交易所（0388.HK）2025 年报点评 推荐（维持） 业绩高增，创新加速 目标价：516.9 港元 港股公司 金融交易所及数据 2026 年 02 月 27 日 当前价：415.40 港元 华创证券研究所 证券分析师：徐康 电话：021-20572556 邮箱：xukang@hcyjs.com 执业编号：S0360518060005 联系人：崔祎晴 ❖ 香港交易所发布 2025 年年报。2025 年实现营业收入 291.61 亿港元（同比 +30.3%），归母净利润 177.54 亿港元（同比+36.0%）。2025Q4 实现营业收入 73.10 亿港元（同比+14.6%），归母净利润 43.35 亿港元（同比+14.7%）。 评论： （1）2025 年现货部门收入 147.04 亿港元（同比+56.1%），其中交易费及交易 系统使用费+结算及交收费+存管、托管及代理人服务费合计 132.91 亿港元（同 比+64.1%）。受中国内地科技发展及大规模市场改革的带动，投资者对中国相 关资产的兴趣在 2025 年持续回升，吸引国际资本流入香港。同时，世界各地 投资者正放眼全 ...

1. Report Industry Investment Rating There is no information regarding the industry investment rating in the provided content. 2. Core Views of the Report - In 2025Q4, the market value of convertible bonds held by public - funds decreased by 2.63% quarter - on - quarter but increased by 7.24% year - on - year. The proportion of convertible bond market value to bond investment market value and net value both decreased. First - and second - tier bond funds increased their positions, while convertible bond funds decreased their positions [2]. - The performance of convertible bond funds in 2025Q4 was worse than the convertible bond index. There was a small - scale net redemption, and the scale decreased. However, the position of convertible bonds increased, and the leverage ratio continued to decline [4]. - In terms of industry allocation, both public - funds and convertible bond funds focused on increasing positions in bank and electronic convertible bonds. Public - funds also increased positions in convertible bonds of industries such as petroleum and petrochemicals and national defense and military industry, while convertible bond funds increased positions in industries such as automobiles and coal [7][8]. 3. Summary According to the Directory 3.1 Public - funds' Position of Convertible Bonds Declined, and Positions in Bank and Electronic Convertible Bonds Increased 3.1.1 The Market Value of Convertible Bonds Held by Public - funds Decreased Quarter - on - Quarter, and the Position Declined - In 2025Q4, the market value of convertible bonds held by public - funds was 308.251 billion yuan, a quarter - on - quarter decrease of 2.63% but a year - on - year increase of 7.24%. The proportion of convertible bond market value to bond investment market value was 1.46%, a decrease of 0.11 pct compared with 25Q3; the proportion to net value was 0.83%, a decrease of 0.04 pct compared with 25Q3 [12]. - The market value of convertible bonds held by different types of funds changed differently. First - and second - tier bond funds increased their positions, while convertible bond funds decreased their positions. The position of convertible bonds of public - funds decreased by 0.04 pct to 0.83%. Among them, the position of convertible bonds of second - tier bond funds was further diluted, while that of convertible bond funds increased [14][23]. 3.1.2 In the Context of Market Contraction, the Positions of Public - funds, Insurance Funds, Enterprise Annuities, and Securities Firms' Proprietary Trading All Decreased - As of the end of 2025Q4, the total face value of convertible bonds held by the Shanghai and Shenzhen Stock Exchanges was 552.692 billion yuan, a quarter - on - quarter decrease of 46.797 billion yuan, or 7.81%. Public - funds, insurance institutions, enterprise annuities, and securities firms' proprietary trading all significantly reduced their positions [32]. - The face value of convertible bonds held by public - funds decreased slightly quarter - on - quarter, but the proportion increased. The scale of convertible bonds held by insurance institutions and enterprise annuities continued to shrink [38]. 3.1.3 The Market Value Increment of Bank and Electronic Convertible Bonds in Public - funds' Positions Ranked High, and There Might Be Profit - Taking in Non - ferrous Metals - In terms of industry layout, banks were still the primary layout sector in 25Q4. The market value of convertible bonds held by public - funds in the bank and power equipment sectors increased. Fourteen industries had positive quarter - on - quarter changes in market value, with petroleum and petrochemicals, national defense and military industry, and steel industries leading in growth. The market value of convertible bonds in industries such as building materials, non - ferrous metals, and communications decreased significantly [41]. 3.1.4 Xingye Convertible Bond Maintained the Position of the First Heavily - Held Bond - Xingye Convertible Bond maintained the position of the first heavily - held bond of public - funds and had a high increment. Among the top ten convertible bonds in terms of market value, three were bank convertible bonds. Excluding bank convertible bonds, there were six and five power equipment convertible bonds in the top ten in terms of the number of holdings and total market value of holdings respectively [47]. 3.2 The Performance of Convertible Bond Funds Was Worse than the Index, the Position of Convertible Bonds Increased, and the Leverage Ratio Declined 3.2.1 The Re - invested Unit Net Value Increased, and There Was a Small - Scale Net Redemption - As of 2025Q4, there were 39 convertible bond funds in the market. The performance of convertible bond funds was worse than the convertible bond index, with a small - scale net redemption and a decrease in scale. The average increase in the re - invested unit net value of 39 convertible bond funds was 0.84%, and the median was 1.09%. The overall net redemption was 2.627 billion yuan, and the net subscription rate was 48.72%, a decrease of 15.38 pct compared with 25Q3 [53]. - The asset allocation of high - performing convertible bond funds changed. Most funds reduced their positions in convertible bonds and increased their positions in stocks [56]. 3.2.2 The Position of Convertible Bonds Increased Quarter - on - Quarter, and the Leverage Ratio Decreased Quarter - on - Quarter - The overall position of 39 convertible bond funds increased, and the leverage ratio decreased quarter - on - quarter. The proportion of convertible bond market value to the net value of convertible bond funds was 84.81%, a quarter - on - quarter increase of 0.63 pct; the median position was 84.39%, a quarter - on - quarter decrease of 1.16 pct. The average leverage ratio was 113.05%, a decrease of 1.08 percentage points quarter - on - quarter [70]. - Twenty convertible bond funds increased their positions in convertible bonds. Fourteen convertible bond funds increased their positions in stocks, and 25 convertible bond funds maintained zero - position in stocks or reduced their positions [75]. 3.2.3 Convertible Bond Funds Focused on Increasing Positions in Bank and Electronic Convertible Bonds, and the Heavily - Held Bonds Were More Diversified - In 25Q4, 39 convertible bond funds focused on increasing positions in the electronic and power equipment sectors. The number of holdings in more than half of the industries increased, with electronics, power equipment, basic chemicals, and automobiles leading in growth. The proportion of banks in the market value of holdings increased by 0.93 pct, and there were 12 industries in total with an increase in the proportion of market value of holdings [79]. - Xingye and Shanghai United Bank convertible bonds were the main allocation bonds, but the allocation was more diversified. The banking industry ranked first among the heavily - held industries, and the funds also focused on allocating power equipment convertible bonds [81].