Jin Rong Jie·2025-06-12 03:25Core Viewpoint - The article highlights the significant returns achieved by investors in high-dividend assets over the past decade, despite the Shanghai Composite Index remaining below its peak level from ten years ago [1][5]. Group 1: Investment Performance - Even if investors had bought at the peak of 5178 points ten years ago, the Bank AH Total Return Index has achieved over 100% cumulative returns, while the Hong Kong Dividend Low Volatility Total Return Index has risen by 88% [3]. - Investors focusing on high-dividend assets have quietly reaped substantial rewards over time, showcasing the power of compounding returns [5]. Group 2: Institutional Investment Trends - Insurance companies, as long-term investors, are increasingly favoring high-dividend sectors like banking. For instance, China Ping An has continuously increased its stake in Agricultural Bank of China H-shares, reaching a holding of 15.15% [4][6]. - The trend of insurance companies acquiring stakes in banks is driven by the need for stable cash returns in a low-interest-rate environment, with significant investments made in high-dividend stocks [6]. Group 3: Southbound Capital Flows - Southbound capital has shown a strong preference for high-dividend assets, with net purchases in the banking sector leading among 30 sectors, totaling 209.9 billion yuan over the past year [7][8]. - As of the end of May, southbound funds held 685.8 billion yuan in 14 Hong Kong bank stocks, with a year-to-date increase of 174 billion shares, reflecting a market value increase of over 182 billion yuan [7]. Group 4: ETF Performance - The Bank ETF Preferred (517900) has outperformed the market, tracking the Bank AH Total Return Index with a nearly 20% increase since the beginning of the year, compared to a 12% rise in the China Securities Bank Total Return Index [9]. - The Hong Kong Dividend Low Volatility ETF (520550) has announced a monthly dividend of 0.004 yuan, with a yield of 0.37% based on its net asset value [12][13]. - The China Securities Dividend ETF (515080) has consistently provided dividends above 5%, making it attractive in a low-interest-rate environment [14].