Core Viewpoint - The report highlights that CITIC Financial Assets is focusing on the development of its non-performing asset business while actively engaging in long-term equity investments in quality listed companies, which will provide stable returns and mitigate the impact of economic cycle fluctuations [1][2]. Group 1: Company Overview - CITIC Financial Assets, formerly known as China Huarong, was established in 1999 and is one of China's four major Asset Management Companies (AMCs) [1]. - In March 2022, the company was transferred to the management of CITIC Group, and it will be renamed CITIC Financial Assets in 2024 [1]. - The non-performing asset management segment accounted for 84.46% of the company's revenue in 2024 [1]. Group 2: Investment Strategy - Since 2023, CITIC Financial Assets has increased its long-term equity investment in quality listed companies to smooth out the impacts of economic cycle fluctuations [2]. - The company holds stakes in several quality listed companies, including China Bank, CITIC Limited, Everbright Bank, and Daqin Railway [2]. - Long-term equity investments contributed significant income to the company, with other income and net gains recognized at 414.76 billion and 756.62 billion respectively for 2023 and 2024 [2]. - Dividends and performance from quality associates are expected to contribute stable profits, with dividends and performance contributions projected at 14.73 billion and 94.95 billion for 2023 and 2024 respectively [2]. - As of June 30, 2025, CITIC Financial Assets increased its stake in China Bank to 4.71% and in Everbright Bank to 8% as of July 23, 2025 [2].