Report Summary 1. Report Industry Investment Rating No industry investment rating is provided in the report. 2. Core Viewpoints - In the week of 2025.07.14 - 2025.07.18, bond yields fluctuated narrowly, with interest - rate bonds showing differentiated performance across maturities and credit bond yields declining. The equity market strengthened, and the bond market was affected by various factors such as central bank policies, tariff effects, and changes in risk preferences [3]. - The issuance of two digital currency funds by Huaxia Fund (Hong Kong) marks a breakthrough in the application of RMB assets in blockchain finance, and the tokenized currency funds have advantages over traditional ones [4]. 3. Summary by Directory 3.1 Weekly Market Observation 3.1.1 Pan - Fixed - Income Market Review and Observation - **Bond Market Review**: Bond yields fluctuated narrowly. The ChinaBond Composite Wealth Index (CBA00201) rose 0.08%, and the ChinaBond Composite Full - Price Index (CBA00203) rose 0.03%. Interest - rate bonds had differentiated performance, with mid - and short - term yields better than long - term ones. Credit bond yields declined, and credit spreads compressed [10]. - **Market Influencing Factors**: The central bank maintained a stable tax - period capital market, with a net open - market injection of 1261.1 billion yuan. The bond market was affected by factors such as stable fundamentals, under - expected incremental policies, and the stock - bond seesaw effect. The long - term US Treasury yields rose due to tariff concerns, and the REITs secondary market was suppressed by the increasing risk preference in the equity market [11][12][13]. - **Outlook and Suggestions**: The bond market's favorable environment is unlikely to reverse in the short term, but caution is advised due to potential volatility. For US Treasuries, short - term investors should wait for adjustment opportunities, and long - term investors should monitor tariff issues. For REITs, investors who have profited should consider taking profits and stay cautious [11][12][13]. 3.1.2 Public Fund Market Dynamics - Huaxia Fund (Hong Kong) issued the Huaxia US Dollar Digital Currency Fund and the Huaxia RMB Digital Currency Fund. The Huaxia RMB Digital Currency Fund is the world's first tokenized money - market fund denominated in RMB, forming a complete currency - tokenized fund series covering HKD, USD, and RMB [4]. - Tokenized currency funds have advantages over traditional ones in terms of trading time, settlement cycle, and trading channels [15]. 3.2 Pan - Fixed - Income Fund Index Performance Tracking 3.2.1 Pure - Bond Index Tracking - **Short - Term Bond Fund Preferred Index**: Aims at liquidity management, selects 5 funds with stable long - term returns, strict risk control, and significant absolute - return capabilities, and has a performance benchmark of 50% * Short - Term Pure - Bond Fund Index + 50% * Ordinary Money - Market Fund Index [17]. - **Medium - and Long - Term Bond Fund Preferred Index**: Invests in medium - and long - term pure - bond funds, selects 5 funds with both return and risk - control capabilities, and adjusts the duration and the ratio of credit - bond funds and interest - rate bond funds according to market conditions [20]. 3.2.2 Fixed - Income + Index Tracking - **Low - Volatility Fixed - Income + Preferred Index**: Has an equity center of 10%, selects 10 funds with an equity center within 15% in the past three years and recently, and has a performance benchmark of 10% CSI 800 Index + 90% ChinaBond New Composite Full - Price Index (CBA00303.CS) [23]. - **Medium - Volatility Fixed - Income + Preferred Index**: Has an equity center of 20%, selects 5 funds with an equity center between 15% - 25%, and has a performance benchmark of 20% CSI 800 Index + 80% ChinaBond New Composite Full - Price Index (CBA00303.CS) [25]. - **High - Volatility Fixed - Income + Preferred Index**: Has an equity center of 30%, selects 5 funds with an equity center between 25% - 35%, and has a performance benchmark of 30% CSI 800 Index + 70% ChinaBond New Composite Full - Price Index (CBA00303.CS) [27]. 3.2.3 Convertible Bond Fund Preferred Index Selects 5 convertible - bond funds from a sample space based on multiple evaluation criteria, including the fund's long - and short - term returns, risk - adjusted returns, and the fund manager's timing and bond - selection abilities [33]. 3.2.4 QDII Bond Fund Preferred Index Tracking Selects 6 QDII bond funds with stable returns and good risk control, whose underlying assets are overseas bonds covering various regions and types [35]. 3.2.5 REITs Fund Preferred Index Tracking Selects 10 REITs funds with stable operations, reasonable valuations, and certain elasticity, whose underlying assets are mainly high - quality infrastructure projects [37].

Market Overview - The bond market experienced narrow fluctuations last week (July 14-18, 2025), with the China Bond Composite Wealth Index (CBA00201) rising by 0.08% and the China Bond Composite Full Price Index (CBA00203) increasing by 0.03%. Short- to medium-term yields outperformed long-term yields, with 1-year, 3-year, 5-year, and 10-year government bond yields decreasing by 0.55bp, 1.56bp, 1.44bp, and 0.54bp respectively [12][14] - The central bank's liquidity support stabilized the funding environment during the tax period, leading to a strong equity market and fluctuating bond yields. The central bank injected a net of 12,611 billion yuan into the market, with 17,868 billion yuan in injections and 5,257 billion yuan in withdrawals [14] - The long-end U.S. Treasury yields rose due to concerns over inflation driven by tariff issues, while short-end yields remained stable under the expectation of interest rate cuts [15] Public Fund Market Dynamics - Huaxia Fund Management Company (Hong Kong) launched the world's first RMB-denominated tokenized money market fund, marking a significant advancement for RMB assets in the blockchain financial application sector. This fund series includes USD, HKD, and RMB tokenized funds [17][18] - The new fund series adopts a dual distribution model, allowing investors to transact through traditional financial institutions and licensed virtual asset trading platforms [17][19] Fund Performance Tracking - Short-term bond funds rose by 0.05% last week, with a cumulative return of 4.08% since inception [3] - Medium- to long-term bond funds increased by 0.08%, achieving a cumulative return of 6.64% since inception [4] - Low-volatility fixed income plus funds rose by 0.17%, with a cumulative return of 3.01% since inception [5] - Medium-volatility fixed income plus funds increased by 0.36%, with a cumulative return of 2.71% since inception [6] - High-volatility fixed income plus funds also rose by 0.36%, achieving a cumulative return of 3.99% since inception [7] - Convertible bond funds increased by 0.78%, with a cumulative return of 12.56% since inception [8] - QDII bond funds decreased by 0.18%, with a cumulative return of 7.80% since inception [9] - REITs funds rose by 0.35%, achieving a cumulative return of 37.68% since inception [10]

Group 1: Stablecoin Functions - Stablecoins have partially achieved the three main functions of money: medium of exchange, unit of account, and store of value in the crypto ecosystem[2] - In the real world, stablecoins have realized the functions of unit of account and store of value, but their use as a medium of exchange is limited due to regulatory barriers[2] - Stablecoins are designed to maintain value stability by being pegged to fiat currencies or assets, providing a hedge against inflation[7] Group 2: Market Growth and Projections - The stablecoin market has grown from $5 billion in 2020 to an estimated $250 billion by 2025, with total transaction volume exceeding $35 trillion in the past year[48] - Short-term growth of stablecoins is expected to remain steady, but they are unlikely to challenge sovereign currencies due to regulatory constraints and the relatively small size of the blockchain financial market[49] - Long-term potential exists for stablecoins to disrupt sovereign currencies, especially as the Real World Asset (RWA) market expands, potentially reaching trillions of dollars[50] Group 3: Risks and Limitations - Stablecoins face risks related to regulatory compliance and cross-border circulation, which could hinder their growth and acceptance[55] - The lack of sovereign backing and legal tender status means stablecoins rely heavily on the issuing entity's creditworthiness, posing systemic risks if confidence is lost[43] - Current stablecoins are primarily used within specific crypto ecosystems and have not yet integrated into mainstream payment systems, limiting their overall utility[28]

Group 1 - OCTO Asset Management and Amplegest have established a wholly-owned subsidiary, OCTO GLOBAL TRADING PTE. LTD., in Singapore, marking the implementation of their "technology + finance + trade" integration strategy [1] - The subsidiary aims to create a global trade ecosystem focused on cross-border e-commerce, smart supply chains, and blockchain finance, providing a decentralized, transparent, and efficient new channel for global SMEs [1][3] - The company plans to develop a three-in-one operational system combining trade, finance, and blockchain, with initial investments in a global marketplace, smart supply chain network, trade finance solutions, and a blockchain system for transaction transparency [3] Group 2 - Singapore is positioned as an ideal hub for OCTO, offering favorable policies and port resources, and has been selected for the Monetary Authority of Singapore's FSTI 3.0 program, which provides up to 50% funding for technology research and development [5] - The company is collaborating with institutions like National University of Singapore, MIT, and Tsinghua University to establish AI and blockchain laboratories, and plans to work with international organizations for cross-border data compliance [5] - According to IMF predictions, the global cross-border e-commerce market is expected to exceed $15 trillion by 2030, positioning OCTO as a key infrastructure platform in the digital trade era due to its strong asset management background and advanced technology capabilities [5]

Core Insights - The RCEP region is experiencing accelerated economic integration, with cross-border finance and digital trade becoming key growth engines for the global economy [1][3] - The demand for international talent with expertise in cross-border data compliance, digital marketing, and supply chain management is surging due to the explosive growth in digital trade and blockchain finance [3][5] Group 1: Digital Trade and Blockchain Finance - In 2021, RCEP member countries' digital trade exports reached $606.977 billion, a year-on-year increase of 14.84%, while the blockchain finance market is expected to exceed 200 billion RMB by 2025 [1] - The cross-border e-commerce import and export total for China is projected to surpass $369 billion, with Southeast Asia's e-commerce market expected to exceed $300 billion by 2025 [3] - The cross-border settlement scale based on blockchain is expected to exceed $1.2 trillion by 2026, with transaction fees reduced by 75% compared to traditional systems [3] Group 2: Talent Development and Educational Initiatives - The Capital University of Economics and Business (CUEB) International Undergraduate Program is implementing a "business + data science" dual-engine curriculum to meet industry needs [5] - The program collaborates with over 300 companies, providing students with internship opportunities and a direct pathway to employment, resulting in a job placement rate 6.2 times higher than ordinary institutions [6] - Graduates receive both domestic and overseas degrees, benefiting from various policy incentives that enhance their employability in multinational companies [7] Group 3: Global Career Pathways - The CUEB International Undergraduate Program offers a three-tiered training system that facilitates students' transition from local to global career opportunities [9] - The program includes an EAP academic English curriculum that allows students to bypass IELTS requirements for admission to top global universities [9] - The introduction of a transfer pathway to the University of Hong Kong enables students to convert 70% of their credits after completing their first year abroad, enhancing their academic progression [9]

Group 1 - The core concept revolves around Real World Assets (RWA), which digitalizes physical assets with actual value and economic significance, enabling their transformation into tradable digital tokens through securitization and blockchain technology [1] - RWA combines the mature experience of Real Estate Investment Trusts (REITs) with blockchain's distributed ledger and smart contract features, enhancing liquidity and transparency while reducing transaction costs [1][5] - The integration of RWA and Revenue-Based Financing (RBF) creates a powerful synergy that addresses the challenges of narrow financing channels and enhances the efficiency of resource allocation in the economy [5][6] Group 2 - RBF allows companies to convert future expected income streams into immediate capital without relinquishing equity or providing substantial collateral, thus opening new financing avenues [3][5] - The RBF model utilizes discrete function algorithms to structure and discount future cash flows, enabling businesses to access funds in advance for growth opportunities [3][6] - The combination of RWA and RBF not only resolves financing difficulties for enterprises but also promotes a healthy circulation between on-chain and off-chain economies, facilitating efficient resource flow [5][8]