Fixed Income Research - In October, the issuance scale of credit bonds decreased slightly, with corporate bonds and medium-term notes increasing, while company bonds, short-term financing bonds, and targeted tools saw a decrease in issuance [3] - The overall credit bond yield declined, but the monthly average showed a mixed trend compared to September, with most credit spreads narrowing [3] - The market is expected to continue a downward trend in yields, with a cautious approach recommended for high-priced bonds, while focusing on the value of individual bonds [3][4] Fund Research - The total scale of public funds exceeded 36 trillion yuan, with a recent draft for performance comparison benchmarks released by the CSRC [5] - In the week from October 27 to October 31, the average return of equity funds was 0.20%, with a positive return ratio of 57.93% [6] - The ETF market saw a net inflow of 238.35 billion yuan, with significant inflows into stock ETFs [6][7] Financial Engineering Research - The A-share market saw most major indices decline in October, with the margin balance continuing to rise, reaching 24,784.70 billion yuan by the end of the month [8][9] - The financing balance increased by 900.17 billion yuan, while the average daily trading volume in the ETF market was 5,559.23 billion yuan [9][10] Industry Research - The pharmaceutical and biotechnology sector is seeing positive developments, with the recent ESMO conference showcasing advancements in Chinese innovative drugs [11] - The steel industry showed significant improvement in performance, with a net profit of 218.53 billion yuan in the first three quarters of 2025, compared to losses in the previous year [14][15] - The non-ferrous metals sector also performed well, with a revenue growth of 9.30% and a net profit increase of 41.55% in the first three quarters of 2025 [16][19]

Core Viewpoint - The National Index of Free Cash Flow has experienced a decline of 1.10% as of November 5, 2025, with mixed performance among constituent stocks, indicating a volatile market environment [1]. Group 1: ETF Performance - The Free Cash Flow ETF (159201) has decreased by 1.19%, with the latest price at 1.16 yuan [1]. - Over the past week, the average daily trading volume of the Free Cash Flow ETF reached 356 million yuan, ranking first among comparable funds [1]. - The ETF has seen continuous net inflows over the past 16 days, totaling 893 million yuan, with the latest share count reaching 4.617 billion, a record high since its inception [1][3]. - The total size of the Free Cash Flow ETF has reached 5.418 billion yuan, also a record high since inception, ranking first among comparable funds [1][3]. Group 2: Leverage and Returns - The latest margin buying amount for the Free Cash Flow ETF is 27.092 million yuan, with a margin balance of 100 million yuan [3]. - The net value of the ETF has increased by 22.74% over the past six months, with the highest single-month return recorded at 7% [3]. - The ETF has a historical monthly profit percentage of 87.50% and a monthly profit probability of 81.82%, indicating strong performance [3]. Group 3: Risk and Fees - The maximum drawdown for the ETF over the past six months is 3.65%, which is the smallest among comparable funds [3]. - The management fee for the Free Cash Flow ETF is 0.15%, and the custody fee is 0.05%, both of which are the lowest in its category [3]. - The tracking error for the ETF over the past two months is 0.053%, indicating the highest tracking precision among comparable funds [3]. Group 4: Top Holdings - As of October 31, 2025, the top ten weighted stocks in the National Index of Free Cash Flow include China National Offshore Oil Corporation, SAIC Motor, Wuliangye Yibin, Gree Electric Appliances, and others, collectively accounting for 54.79% of the index [4].

Core Viewpoint - The strategic cooperation agreement between Suotong Development Co., Ltd. and Chalco Materials Co., Ltd. marks a significant step towards enhancing industrial collaboration, resource channel expansion, operational efficiency improvement, and promoting green and low-carbon transformation in the aluminum carbon industry [1][2][5]. Group 1: Strategic Cooperation Details - Suotong Development and Chalco Materials will collaborate through the Green Star Chain platform for joint procurement of spare parts and auxiliary materials, aiming to establish a new benchmark for supply chain collaboration in the aluminum carbon sector [1][5]. - The partnership will focus on deep cooperation in the upstream and downstream fields of aluminum carbon, addressing the high raw material cost and market volatility by integrating procurement processes [5][9]. Group 2: Operational Enhancements - The collaboration will enhance the procurement process for spare parts and auxiliary materials, utilizing Chalco Materials' online platform to digitize procurement workflows, optimize inventory management, and shorten procurement cycles [5][9]. - A stable and efficient production-sales coordination mechanism will be established, ensuring continuous supply and product consistency in key products like calcined coke and prebaked anodes [5][9]. Group 3: Value Creation and Industry Transformation - The partnership signifies a shift from simple procurement to resource integration, capability complementarity, and value co-creation, representing a true "deep collaboration of the industrial chain" [9]. - Suotong Development aims to leverage this cooperation to strengthen its professional advantages in the aluminum carbon field and accelerate its digitalization, greening, and internationalization efforts, aspiring to become a global leader in carbon material solutions [9].

Market Overview - The Shanghai Resource Index (000068) closed at 3753.88 points, down 2.0%, with a trading volume of 56.362 billion yuan and a turnover rate of 0.77% [1] - Among the index constituents, 9 stocks rose while 36 fell, with Fangda Carbon leading the gainers at 2.37% and Zhongjin Gold leading the decliners at 5.18% [1] Key Constituents - The top ten constituents of the Shanghai Resource Index are detailed, with North Rare Earth holding the highest weight at 7.42% and a market cap of 177.5 billion yuan [1] - Other notable constituents include Zijin Mining with a market cap of 764.902 billion yuan and China Shenhua with a market cap of 864.678 billion yuan [1] Capital Flow - The net outflow of main funds from the index constituents totaled 5.047 billion yuan, while retail investors saw a net inflow of 4.462 billion yuan [1] - Specific stocks such as Fangda Carbon experienced a net inflow of 95.7325 million yuan from main funds, while China Shenhua had a net inflow of 67.0535 million yuan [2] ETF Performance - The Gold Stock ETF (product code: 159562) tracks the CSI Hong Kong Gold Industry Stock Index and has seen a decline of 3.10% over the past five days, with a P/E ratio of 23.23 times [4] - The ETF's latest share count is 1.26 billion, with an increase of 9 million shares, but it experienced a net outflow of 57.747 million yuan from main funds [4]

Core Viewpoint - The Resource 50 Index (000092) closed at 4454.84 points, down 2.03%, with a trading volume of 59.515 billion yuan and a turnover rate of 0.68% on November 4 [1] Group 1: Index Performance - Among the index constituents, 9 stocks rose while 40 stocks fell, with Pingmei Shenhua leading the gainers at 0.82% and Zhongjin Gold leading the decliners at 5.18% [1] - The top ten constituents of the Resource 50 Index include Zijin Mining, Northern Rare Earth, and Wanhu Chemical, with respective weightings of 6.41%, 6.08%, and 4.22% [1] Group 2: Market Capitalization and Price Changes - The total market capitalization of Zijin Mining is 764.902 billion yuan, while Northern Rare Earth has a market cap of 177.5 billion yuan [1] - The price changes for key constituents include Zijin Mining at 28.78 yuan (-4.07%), Northern Rare Earth at 49.10 yuan (+0.41%), and China Shenhua at 43.52 yuan (+0.23%) [1] Group 3: Capital Flow - The net outflow of main funds from the Resource 50 Index constituents totaled 5.458 billion yuan, while retail investors saw a net inflow of 4.738 billion yuan [1] - Specific stocks like China Shenhua and Zhongjin Gold experienced varied capital flows, with China Shenhua seeing a net inflow of 67.0535 million yuan from main funds [2]

Core Viewpoint - The rare earth industry is experiencing fluctuations in stock performance, with significant growth in the rare earth ETF, driven by rising prices and increased demand expectations due to delayed export control measures [1][3][4]. Group 1: Market Performance - As of November 4, 2025, the China Rare Earth Industry Index decreased by 0.71%, with mixed performance among constituent stocks [1]. - Baotou Steel (包钢股份) led the gains with an increase of 4.14%, while Shengxin Lithium Energy (盛新锂能) experienced the largest decline [1][6]. - The rare earth ETF managed by Harvest (嘉实) saw a trading volume of 62.65 million yuan, with a significant growth of 5.327 billion yuan in the last three months, ranking first among comparable funds [3]. Group 2: Fund Performance - The rare earth ETF has seen an increase of 866 million shares in the past month, also ranking first among comparable funds [3]. - Over the past 18 trading days, the ETF attracted a total of 1.675 billion yuan in inflows [3]. - As of November 3, 2025, the net value of the rare earth ETF has increased by 86.47% over the past two years, placing it in the top 4.41% of index equity funds [3]. Group 3: Price Trends and Forecasts - According to Guojin Securities, the price of praseodymium and neodymium oxide rose by 6.08% week-on-week, driven by increased demand expectations and delayed export control measures [4]. - The overall sentiment in the rare earth sector is bullish, with expectations of a supply-demand resonance due to external export pressures and ongoing supply reforms [4]. - Guosheng Securities highlights the broad market potential for rare earth recycling and magnetic materials, anticipating rapid growth in related companies' performance as rare earth prices recover [4]. Group 4: Key Stocks - The top ten weighted stocks in the China Rare Earth Industry Index account for 61.61% of the index, with Northern Rare Earth (北方稀土) holding the largest weight at 17.20% [3][6].

Core Viewpoint - The conference held in Nanning aims to promote the high-quality development of the non-ferrous and critical metals industry in Guangxi, emphasizing collaboration and investment opportunities in this sector [1][2]. Group 1: Industry Development - Guangxi is recognized as a significant region for non-ferrous and critical metals in China, with these industries being vital to the local economy [2][3]. - The local government is addressing issues in the non-ferrous metals industry through various initiatives, including a ten-year investigation into illegal mining and pollution, and the establishment of a comprehensive development zone for critical metals [2][3]. - The focus is on advancing the industry towards high-end, intelligent, green, large-scale, and park-based development, with significant progress already made [2]. Group 2: Investment Opportunities - The conference highlighted Guangxi as a "future track" for investment in non-ferrous and critical metals, particularly in high-end materials [2]. - There is a strong call for collaboration in areas such as deep processing of non-ferrous metals, new material research, recycling of metals, and high-end equipment manufacturing [2][3]. - The government is committed to creating a favorable business environment and enhancing administrative efficiency to support enterprises operating in Guangxi [4]. Group 3: Strategic Initiatives - The conference included the release of the "15th Five-Year Plan" for the innovative development of the critical metals industry in Guangxi, along with supporting policies [5]. - A total of 35 key projects in the non-ferrous and critical metals sectors were signed, covering nine types of critical metals and various non-ferrous metals [5]. - Experts emphasized the need for Guangxi to transition strategic minerals into critical metals and to leverage its resource advantages for sustainable development [4][5].

Core Insights - The National Index of Free Cash Flow has seen a strong increase of 1.01% as of November 3, 2025, with key stocks such as Taiji Industry, Yaxiang Integration, and Hailu Heavy Industry hitting the daily limit up [1] - The Free Cash Flow ETF (159201) rose by 1.02%, reaching a latest price of 1.19 yuan, with a trading volume of 3.42 billion yuan [1] - Over the past 15 days, the Free Cash Flow ETF has attracted a total net inflow of 8.21 billion yuan, with its latest share count reaching a record high of 4.556 billion shares [1] Performance Metrics - As of November 3, 2025, the Free Cash Flow ETF has achieved a net value increase of 23.92% over the past six months [2] - The ETF's highest single-month return since inception was 7%, with an average monthly return of 3.2% and a monthly profit probability of 81.7% [2] - The maximum drawdown in the last six months was 3.65%, which is the lowest among comparable funds [2] Fee Structure and Tracking Accuracy - The management fee for the Free Cash Flow ETF is 0.15%, and the custody fee is 0.05%, making it the lowest among comparable funds [3] - The tracking error over the past two months is 0.053%, indicating the highest tracking accuracy among similar funds [3] Top Holdings - The top ten weighted stocks in the National Index of Free Cash Flow account for 54.79% of the index, including China National Offshore Oil, SAIC Motor, and Wuliangye [3][5] - The performance of these stocks varies, with China National Offshore Oil showing a gain of 4.83% and SAIC Motor declining by 2.47% [5]

Core Viewpoint - China Aluminum's Q3 report shows a net profit of 10.872 billion yuan, a year-on-year increase of 20.65%, indicating potential cyclical recovery or peak performance [1] Valuation Screening - Current stock price is 10.17 yuan with a P/E ratio of approximately 12, reflecting market caution towards cyclical industries [3] - The P/B ratio is 2.38, suggesting concerns about potential profit peaks and aluminum price declines [3] - If the company can leverage its full industry chain advantage to smooth out cyclical fluctuations, the current valuation may represent a significant investment opportunity [3] Fundamental Screening - Profit quality has improved, with a gross margin increase to 17.31% over four consecutive quarters, indicating effective cost control and product optimization [4] - The debt ratio has decreased to 46.38%, enhancing financial health [4] - As one of the largest alumina producers globally, China Aluminum benefits from a fully integrated supply chain, leading to superior resource security and cost control [4] - Operating cash flow reached 25.38 billion yuan in the first three quarters, with a mid-term dividend of 0.82 yuan per share, reflecting strong financial fundamentals [4] Industry Trend Screening - The company is positioned at the intersection of limited supply and new demand drivers, with a production cap of 45 million tons for electrolytic aluminum under current policies [5] - The "dual carbon" goals make it challenging to introduce new production capacity, effectively locking in supply [5] - New demand from sectors like electric vehicles, photovoltaic supports, and energy storage systems is robust, potentially offsetting weakness in traditional construction sectors and driving aluminum prices into a new phase [5] Capital Flow Screening - Recent data shows a net inflow of 929 million yuan from major funds, indicating a positive attitude from large investors [6] - The number of shareholders has decreased to 356,300, suggesting a concentration of shares as retail investors exit while institutions accumulate [6] - However, the proportion of major holdings remains low, indicating that large funds have not yet formed a strong bullish consensus [6] Strategy Recommendations - For conservative investors, it is advisable to gradually accumulate shares at lower prices, particularly around the 60-day moving average of 8.05 yuan, given the current valuation's safety margin [7] - Aggressive investors may consider technical breakouts, particularly if the stock price surpasses the resistance level of 10.50 yuan with sustained inflows from major funds, while setting a stop-loss below 9.75 yuan [8]

Core Points - The company announced a cash dividend distribution of 0.03 CNY per share (before tax) [3][4] - The total cash dividend to be distributed amounts to 151,211,414.49 CNY (before tax) based on a total share capital of 5,040,380,483 shares [3][4] - The profit distribution plan was approved at the company's first extraordinary general meeting of shareholders on September 11, 2025 [2] Distribution Plan - The cash dividend will be distributed to all shareholders registered with the China Securities Depository and Clearing Corporation Limited, Shanghai Branch, after the close of trading on the registration date [3] - The company will directly distribute cash dividends to China Aluminum Group Co., Ltd. and Yunnan Metallurgical Group Co., Ltd. [3][4] - The distribution is set for the first half of 2025 [4] Taxation Details - For individual shareholders holding shares for over one year, the dividend income is exempt from individual income tax [6] - For shares held for one year or less, the actual cash dividend received will be subject to tax based on the holding period, with a maximum tax rate of 20% for shares held for one month or less [6] - Qualified Foreign Institutional Investors (QFII) will receive a net dividend of 0.027 CNY per share after a 10% withholding tax [7][8] - Hong Kong investors holding shares through the Shanghai-Hong Kong Stock Connect will also receive a net dividend of 0.027 CNY per share after a 10% withholding tax [8] - Other institutional investors and corporate shareholders will receive the full cash dividend of 0.03 CNY per share without withholding tax [9]