Jin Rong Jie·2025-06-23 04:10Core Viewpoint - The banking sector is experiencing significant investment interest, with multiple banks reaching historical highs and substantial inflows from institutional and foreign investors [1][3][5]. Group 1: Market Performance - Bank stocks, including major players like Shanghai Pudong Development Bank and Agricultural Bank of China, have been hitting historical highs [1]. - The Bank AH Preferred ETF (517900) saw a net inflow of 170 million yuan over the past ten trading days, indicating strong buying interest [1]. - The Bank AH Preferred ETF has grown by 246% in size year-to-date, leading among bank ETFs [3]. Group 2: Institutional Investment - Ping An Asset Management has increased its stake in China Merchants Bank H-shares for the third time this year, raising its holding from 14.87% to 15.01% [5]. - Other banks like Agricultural Bank of China and Postal Savings Bank have also received significant investments from insurance funds, indicating a trend of insurance companies favoring bank stocks [6]. - Southbound funds have shown a strong preference for bank stocks, with a net inflow of 1.05 billion yuan on June 20, leading all sectors [8]. Group 3: Valuation and Dividend Yield - H-shares of listed banks currently offer higher dividend yields compared to A-shares, with 14 banks showing H-share yields exceeding those of A-shares [10]. - The valuation of H-shares is generally lower than that of A-shares, presenting a "higher yield, lower valuation" scenario [10]. - The Bank AH Index, which selects cheaper stocks from the AH market, has outperformed other indices since its inception, with a cumulative increase of 93.92% [12].