Ge Long Hui·2025-10-31 09:54Market Performance - In October, the CSI Dividend Index led with a 3% increase, while the Shanghai Composite Index and the SSE 50 rose by 1.85% and 0.76% respectively. The ChiNext Index fell by 1.56%, and the CSI 300 remained flat [1] - Global stock markets saw significant gains, with the South Korean Composite Index rising nearly 20% and the Nikkei 225 increasing by 16.64%, marking the largest monthly gain since October 1990 [1] ETF Performance - The "Global Vision, Betting on China" top ten core ETFs experienced a slight decline of 2.89% in October but recorded a year-to-date increase of 33.65%, outperforming the CSI 300 Index which rose by 17.94% [3] - The S&P 500 ETF rose by 7.44% in October, being the only ETF in the portfolio to record a gain, while the A500 ETF (512050) saw a minor decline of 0.42% but has increased by 23.58% year-to-date [3][4] A500 Index Characteristics - The CSI A500 Index, viewed as the Chinese equivalent of the S&P 500, features a balanced industry distribution, a focus on new economy sectors, and a wide market capitalization range [6] - It covers 100% of all secondary industries in China, including leading companies and "hidden champions," providing strong market representation and benefiting from China's economic transformation [6] - The index is underweight in traditional sectors like finance and food & beverage, while overweight in new productivity sectors such as power equipment and pharmaceuticals, aligning with national strategies like AI and domestic production [6] A500 ETF Insights - The A500 ETF (512050) is the most actively traded A500 ETF, with an average daily trading volume of 4.056 billion yuan and a total size of 18.589 billion yuan [8] - The A500 Index is expected to deliver superior long-term returns and has already surpassed the CSI 300 Index in performance this year, becoming a favored choice for domestic institutions and foreign capital [7] Brokerage Sector Analysis - The brokerage ETF experienced a slight decline of 0.66% in October but has increased by 7.14% year-to-date. The sector is currently facing a mismatch between high growth and low valuation [8] - The average daily trading volume in the market has significantly increased, with a 109% year-on-year rise in the first three quarters of 2025, indicating improved market activity [9] - The continuous rise in margin financing balances is expected to enhance the performance certainty of the brokerage sector, benefiting from an improved capital market environment [9] S&P 500 ETF Performance - The S&P 500 ETF rose by 7% in October, with a year-to-date increase of 13.51%. Major tech companies have reported strong earnings, which will influence the continuation of the bull market [9][10] - Apple reported a 7.9% increase in net sales, while Amazon exceeded expectations with a quarterly revenue of $180.2 billion, indicating strong demand in AI and core infrastructure [10] - Analysts suggest that easing U.S. monetary policy and improved U.S.-China relations will positively impact stock valuations, particularly in the tech and growth sectors [10]