GUOTAI HAITONG SECURITIES·2026-01-24 15:20Group 1 - In Q4 2025, active equity funds significantly reduced their holdings in A-shares and Hong Kong stocks, while increasing allocations in cyclical and financial value stocks, with consensus on increasing positions in non-ferrous metals and non-bank financials [5][8] - The allocation to technology showed internal differentiation, with AI hardware infrastructure being favored, while TMT, pharmaceuticals, and military industries were reduced [5][8] - The overall market capitalization of active equity funds decreased by 195.65 billion to 3.38 trillion, with stock positions dropping to 84.2%, indicating a shift towards lower valuation and improving cyclical and financial sectors [5][8] Group 2 - The industry allocation saw a comprehensive increase in cyclical financials, with significant increases in non-ferrous metals, communications, non-bank financials, machinery, and basic chemicals, while media, electronics, new energy, pharmaceuticals, and military industries were reduced [5][28] - The allocation to communication equipment was notably increased, driven by AI infrastructure investments, while most technology sectors experienced significant reductions [5][28] - In the consumer sector, essential consumption was reduced, particularly in liquor and feed, while leisure food saw a notable increase [5][28] Group 3 - In the Hong Kong market, active funds significantly reduced their allocations, with a market capitalization decrease of 86 billion to 295.2 billion, and the allocation ratio dropping to 15.6% [5][28] - The funds increased their positions in cyclical and financial sectors, such as insurance, oil, airlines, and non-ferrous metals, while reducing positions in internet and semiconductor leaders [5][28] - The issuance of funds is expected to reach an inflection point, supporting further market growth, with a high percentage of funds achieving positive returns over various time frames [5][28]