Core Viewpoint - The internet finance index has significantly outperformed the CSI 300 index in 2025, with a total increase of 22.63% compared to 2.03% for the CSI 300, but it still lags behind the North Exchange 50 index, which saw a 36.9% increase [1]. Group 1: Performance Comparison - The North Exchange has seven companies tagged with internet finance concepts, but only a few have outperformed the North Exchange 50 index, indicating that not all internet finance stocks yield excess returns [1]. - Companies like Guoyuan Technology, Tonghui Information, Zhisheng Information, and Liandi Information have shown better performance than the North Exchange 50 index, while Huaxin Yongdao, Airong Software, and Hanxin Technology have underperformed [1]. - The market capitalization of companies plays a significant role in their performance, with larger market cap companies generally underperforming [1]. Group 2: Market Trends - The North Exchange 50 index has experienced four distinct upward phases since the beginning of the year, but internet finance companies did not consistently outperform the index during these phases [2][4]. - In the second and third phases, the average increase of internet finance companies was lower than that of the index, suggesting that a blanket investment strategy in internet finance stocks may not be effective [4]. Group 3: Stock Selection Strategy - A successful investment strategy involves careful selection of internet finance stocks rather than indiscriminate buying, as not all stocks in this category will yield superior returns [4]. - For instance, Guoyuan Technology, which recently surged, was added to the internet finance label on June 26, 2025, and has shown potential due to its small market cap and lack of previous strong concept binding [5][6]. - The recommended criteria for selecting stocks include: (1) new concepts, (2) small market capitalization, and (3) high recognition of the internet finance label by investors [6].