Zhongtai Securities(SH:600918) Mei Ri Jing Ji Xin Wen·2025-12-22 06:31Core Viewpoint - The FTSE China A-Share Free Cash Flow Index constituents are concentrated in materials, industrials, and consumer discretionary sectors, exhibiting strong defensive characteristics. The free cash flow index has outperformed the overall market during turbulent periods, demonstrating its risk-averse function [1] Group 1: Industry Analysis - The free cash flow rate shows a significant positive correlation with dividend yield, indicating that companies with ample cash flow are more likely to provide stable dividends, thus avoiding "value traps" associated with insufficient cash flow support [1] - The FTSE Cash Flow Index has outperformed the CSI Dividend Index and the CSI 300 Index for nine consecutive years from 2016 to 2024, highlighting its consistent performance in the market [1] Group 2: Investment Opportunities - Investors are encouraged to pay attention to the cash flow ETF (159399), which focuses on large and mid-cap stocks, with a higher proportion of central state-owned enterprises compared to similar cash flow indices. Monthly dividend assessments are available for interested investors [1]