Bank of Ningbo(SZ:002142) Zheng Quan Shi Bao·2025-07-13 17:29Core Viewpoint - The banking sector is becoming a popular choice for public funds as they shift towards dividend-themed funds amid a backdrop of significant market activity and low allocation in this sector [1][2]. Group 1: Dividend Strategy and Market Performance - The banking stocks, particularly the four major state-owned banks, have seen significant price increases, with some reaching historical highs due to the effectiveness of low valuation and high dividend strategies [2]. - Chengdu Bank, heavily weighted in over 100 funds, has experienced a cumulative increase of 98% from January 2024 to July 11, 2025, outperforming many tech stocks and attracting attention from top fund managers [2]. Group 2: Fund Allocation and Research Activities - Public funds have a current allocation of approximately 3.49% in the banking sector, which is underweight by 9.99 percentage points compared to the CSI 300 index and 6.99 percentage points compared to the CSI 800 index [3]. - Recent fund research activities have focused on banks that were previously underweighted, indicating a potential shift in investment strategy [3][4]. Group 3: Institutional Investment Trends - Insurance companies and large institutional investors are increasingly turning to dividend assets like banking stocks due to rising demand for stable returns amid global uncertainties [5][6]. - The banking sector's current price-to-book ratio is 0.72, below the global average, and its dividend yield is significantly higher than government bond yields, making it attractive for long-term investors [6]. Group 4: Future Outlook - The combination of low interest rates, accounting changes, and policy guidance is expected to further enhance the appeal of dividend strategies, with insurance funds likely to become a significant source of new capital in the stock market [6].