Investment Rating - The report highlights the value of dividend assets in a low-interest-rate environment, with the Hong Kong Stock Connect high dividend index outperforming other high dividend indices by 1.17 percentage points as of June 2025 [3][18]. Core Insights - The report emphasizes the accelerated growth of dividend products, with a total scale exceeding 200 billion yuan as of Q1 2025, significantly driven by dividend ETFs [3][31]. - The transportation sector holds a substantial weight in both A-share and Hong Kong dividend indices, with over 10% representation in most dividend indices [3][24]. - Companies in the highway and railway sectors are predicted to have dividend yields greater than 3%, with stable profit growth expected from firms such as Ninghu Expressway, Gansu Expressway, and Daqin Railway [3][12]. - The report identifies that the shipping sector has a predicted dividend yield of over 3%, with companies like COSCO Shipping Energy and Pacific Shipping highlighted [3][12]. Summary by Sections Low-Interest Rate Environment - The report discusses how the low-interest-rate environment enhances the appeal of dividend asset allocation, with the dividend yield of highways at approximately 1.5%, ports at 1%, and shipping at 5% as of July 9, 2025 [3][12][18]. Fund Flow Analysis - The report notes that the scale of dividend products has accelerated since 2024, with significant contributions from dividend ETFs. The majority of the growth in Hong Kong dividend ETFs has been attributed to net inflows from subscriptions and redemptions [3][31][33]. Transportation High Dividend Sector - The report provides a list of key high dividend stocks in the transportation sector, including Ninghu Expressway, Tangshan Port, and China Merchants Highway, which have shown consistent performance despite recent declines [3][24][38].

Summary of Key Points from the Conference Call Industry Overview - The conference call primarily discusses the **aviation industry** and its investment strategies for the mid-term outlook towards 2025, along with insights into the **highway industry**. Core Insights and Arguments - **Domestic Passenger Load Factor**: As of May 2025, the domestic passenger load factor reached **85%-86%**, nearing historical peaks, indicating a potential for stronger sustained growth in the aviation sector [1][2] - **Profitability Improvement**: The aviation industry is expected to see improved profitability due to enhanced revenue management and rational pricing strategies, which have been positively influenced since May 2023 [2][3] - **Challenges Faced**: The aviation sector has faced challenges such as increased price sensitivity among business travelers, slower-than-expected recovery of international routes, and limited collaboration among airlines, which have pressured overall revenue levels [1][4] - **Supply-Side Challenges**: The global aviation industry is experiencing supply-side challenges, including engine issues leading to approximately **5%** of capacity being grounded and slow delivery of new aircraft, with Airbus and Boeing recovering to **65%** and **70%** of pre-pandemic delivery capabilities, respectively [9][11] - **Profitability Turning Point**: The second quarter of 2025 marks a turning point for profitability in the aviation sector, with major airlines nearing breakeven, reducing losses from **2 billion** to under **500 million** compared to the previous year [12][13] Investment Opportunities - **Investment Outlook for 2025**: The second half of 2025 is expected to present significant investment opportunities in the aviation sector, driven by a critical supply-demand balance and improved load factors [2][3] - **Recommended Companies**: Companies with strong earnings certainty such as **Spring Airlines**, **Juneyao Airlines**, and **China Eastern Airlines** are recommended for investment [3][13] - **Highway Industry Stability**: The highway sector is characterized by stable profitability and is recommended for long-term investment due to its defensive nature and clear dividend commitments from companies like **Yuexiu Transport** and **Wuhu Port** [15][16] Additional Important Insights - **Future Supply Growth**: The average supply growth in the aviation industry is projected to be around **1.8%** from 2025 to 2028, with a notable decline in growth rates expected in subsequent years due to ongoing supply chain issues and rising manufacturing costs [11][12] - **Airport Capacity Expansion**: The airport industry is entering a capacity expansion phase starting in 2025, with significant projects planned for major airports, which may enhance long-term investment value despite short-term cost pressures [14] - **Macro Economic Context**: The Japanese aviation market has shown resilience with a **4.2%** compound growth rate in passenger volume, significantly outpacing GDP growth, indicating strong travel demand despite economic slowdowns [6][7] This summary encapsulates the key points discussed in the conference call, providing a comprehensive overview of the aviation and highway industries, their challenges, opportunities, and future outlooks.

Core Viewpoint - The BoShi Hong Kong Dividend ETF (513690) has shown strong performance and liquidity, making it an attractive investment option for both growth-oriented and long-term investors [3][4][5]. Group 1: Performance and Liquidity - As of July 8, 2025, the BoShi Hong Kong Dividend ETF recorded a trading volume of 238 million yuan, ranking first among all Hong Kong dividend products in terms of market liquidity [3]. - The ETF has achieved a year-to-date performance of +14.84%, outperforming most of its peers, with its net asset value reaching new highs [3]. - The ETF's current dividend yield stands at 6.3409%, significantly higher than the 1.64% yield of China's ten-year government bonds, indicating strong long-term allocation value in a low-interest-rate environment [3]. Group 2: Institutional Interest - Recent surveys indicate that 63% of insurance institutions plan to increase their investment in Hong Kong stocks in 2025, with a focus on high-dividend assets [4]. - Insurance capital has made 19 stake acquisitions in 15 listed companies this year, with two-thirds of these being H-shares, which are characterized by low valuations and high dividend yields [4]. - The BoShi Hong Kong Dividend ETF has seen a recent inflow of 476 million yuan over three days, with a peak single-day net inflow of 429 million yuan [4]. Group 3: Historical Performance Metrics - Over the past two years, the BoShi Hong Kong Dividend ETF has experienced a net asset value increase of 40.36%, ranking in the top 4.45% among 2,224 index equity funds [5]. - The ETF's highest monthly return since inception was 24.18%, with an average monthly return of 4.96% during rising months [5]. - As of July 4, 2025, the ETF's Sharpe ratio for the past year was 1.60, indicating a favorable risk-adjusted return [5]. Group 4: Index Tracking - The BoShi Hong Kong Dividend ETF closely tracks the Hang Seng Hong Kong Stock Connect High Dividend Yield Index, which reflects the performance of high-dividend securities listed in Hong Kong [6]. - The top ten weighted stocks in the index account for 28.65% of the total index weight, including companies like Yanzhou Coal Mining and Cheung Kong Property [6].

Core Viewpoint - The Hong Kong dividend ETF market is experiencing positive momentum, driven by government incentives, international monetary easing, and a focus on defensive yield strategies amid rising geopolitical risks [3][4][5][6]. Group 1: Market Performance - The Hong Kong dividend ETF Bosera (513690) increased by 0.58% on July 3, with a turnover rate of 14.91% and a transaction amount of 624 million yuan [1]. - Year-to-date performance for Bosera is +15.17%, with a leading dividend yield of 7.5481%, compared to the current yield of 1.63% for China's ten-year government bonds [2][3]. Group 2: Government Policies - The Hong Kong government has implemented various policies to enhance market attractiveness, including lowering stamp duty and optimizing southbound trading mechanisms, which are expected to improve overall liquidity and market valuation [3]. - Encouragement from the China Securities Regulatory Commission for dividends aims to attract long-term funds such as pensions and insurance into the market [3]. Group 3: International Environment - The initiation of a rate-cutting cycle by the Federal Reserve has improved global liquidity, leading long-term funds to favor stable cash flow assets, making the Hong Kong dividend index an attractive option for both domestic and foreign investors [4]. - Geopolitical tensions and external uncertainties have increased the appeal of dividend strategies as a defensive measure, particularly in sectors like telecommunications, energy, and utilities [5]. Group 4: Trade Dynamics - The escalation of trade tensions, particularly following Trump's push for "reciprocal tariffs," has placed pressure on export-oriented industries, while dividend index constituents, which are less reliant on external demand, show greater resilience [6]. - The combination of local incentives and a favorable international environment supports the strong positioning of dividend assets in the current market landscape [6]. Group 5: Future Outlook - Despite short-term pressures on high-dividend sectors, mid-term prospects remain positive due to the relative attractiveness of dividend yields compared to long-term government bond rates [7]. - The ongoing volatility in U.S. Treasury yields may enhance the relative performance of dividend strategies during periods of market disturbance [7].

Group 1 - The article highlights the increasing market volatility due to overseas geopolitical disturbances, leading to heightened interest in defensive dividend assets, particularly the dividend ETF focused on state-owned enterprises in Hong Kong [1][2] - The Hong Kong dividend ETF (520900) has shown strong performance, with a year-to-date increase of over 5% as of June 24, indicating its robust ability to withstand market fluctuations [1] - The low interest rate environment enhances the long-term attractiveness of high-dividend state-owned enterprises, making index-based tools like the Hong Kong dividend ETF a convenient option for investors seeking dividend income while diversifying risk [1] Group 2 - The China Securities New Hong Kong Stock Connect State-Owned Enterprise Dividend Index focuses on state-owned enterprises with stable dividend levels and high dividend yields within the Hong Kong Stock Connect range, with significant representation from the oil and petrochemical (29.0%), telecommunications (23.5%), and coal (14.2%) sectors [2] - The top ten constituent stocks of the index include major state-owned enterprises, benefiting from the long-term advantages of the energy and telecommunications sectors [2] - GF Fund Management has developed a diverse range of dividend asset allocation tools, with the Hong Kong dividend ETF (520900) becoming a key instrument for investors navigating complex market conditions [2]

Market Overview - The equity market experienced a collective decline last week, with the North Certificate 50 index dropping the most at 2.55% [5][6] - The bond market saw a collective decline in both short and long-term interest rates, with the 1-year government bond rate decreasing by 4.50 basis points to 1.355% [9][13] - The fund market reflected the equity market's downturn, with the偏股基金指数 down 1.65% and the二级债基指数 down 0.07% [15][16] Event-Driven Strategy - The National Medical Products Administration has initiated support for the innovation of high-end medical devices, highlighting investment opportunities in funds such as 南方医药保健 A (000452), 鹏华品牌传承 (000431), and 信澳健康中国 A (003291) [17] - Xiaomi's first SUV is set to launch, presenting potential investment in 工银新能源汽车 A (005939), 嘉实港股互联网产业核心资产 A (011924), and 鹏华新能源汽车 A (016067) [17][18] - The World Mobile Communications Conference held in Shanghai showcased advancements in robotics, indicating investment potential in 华夏智造升级 A (016075), 嘉实制造升级 A (018240), and 鹏华碳中和主题 A (016530) [19] Asset Allocation Strategy - The report suggests a balanced core and barbell strategy, focusing on dividend and technology sectors, with recommended funds including 安信红利精选 A (018381) and 嘉实港股互联网核心资产 (011924) [20][21] - The report emphasizes the value of high-dividend assets due to the low interest rate environment and government policies encouraging dividends [20] - The technology growth sector is highlighted for its investment value, driven by national policy support and the global trend towards artificial intelligence [21] Stable Product Allocation Strategy - The central bank's recent actions indicate a net injection of 102.1 billion yuan, maintaining a balanced and loose funding environment [24] - The report notes that the LPR remained unchanged at 3.0% for the 1-year rate, aligning with market expectations [25] - Economic data from May showed better-than-expected performance, with industrial value-added growth at 5.8% year-on-year [25] Key Focus Products - Recommended funds include 诺德短债 A (005350) for short-term strategies and 安信新价值 A (003026) for a bond-equity hybrid approach [30][29]

Group 1 - The report emphasizes the long-term allocation value of Hong Kong dividend stocks, highlighting their resilience amid market volatility and their role as a defensive asset class [1][14][20] - From a comparative perspective, Hong Kong dividend stocks offer a higher dividend yield than A-share counterparts, with the Hang Seng High Dividend Index yielding 8.1% compared to the CSI Dividend Index's 5.8% [2][24][28] - The demand for long-term capital, particularly from insurance funds, is expected to continue supporting the allocation to dividend assets, providing a stable inflow of funds [3][33][34] Group 2 - The China Securities Index for Hong Kong Central State-Owned Enterprises focuses on high-dividend central enterprises, reflecting the performance of companies with stable dividend levels [4][39] - Since 2020, the cumulative return of the China Securities Index for Hong Kong Central State-Owned Enterprises has reached 35.0%, outperforming major A/H indices [5][40][41] - The index is heavily weighted in sectors such as energy and telecommunications, with a notably low exposure to financial and real estate sectors, allowing for differentiated investment strategies [6][46] Group 3 - The Invesco China Securities Index for Hong Kong Central State-Owned Enterprises ETF provides investors with a tool to gain exposure to the Hong Kong central enterprise dividend sector, aiming to closely track the underlying index [8]

Group 1 - The core viewpoint of the news is the launch of the Changcheng CSI Dividend Low Volatility 100 ETF, which aims to provide investors with efficient tools for dividend asset allocation [1] - The Changcheng CSI Dividend Low Volatility 100 Index consists of 100 high-quality companies from the A-share market, selected based on liquidity, continuous dividends, high dividend yield, and low volatility [1] - The index is characterized by a significant distribution across "finance, cyclical, and consumer" sectors, covering 23 first-level industries, which may uncover multiple dividend opportunities [1] Group 2 - Historical performance indicates that the CSI Dividend Low Volatility 100 Index has outperformed other dividend indices and mainstream broad-based indices in terms of returns and volatility, showcasing a better risk-return ratio [2] - The fund manager highlights the increasing value of dividend asset allocation in a low-interest-rate environment, with stable profitability and high defensive attributes expected to generate consistent and high dividends [2] - The ongoing policy support is anticipated to lead to an increase in the dividend payout ratio of listed companies, making dividend assets attractive in both A-share and Hong Kong markets [2]

Core Viewpoint - Dividend-themed funds are becoming a core asset for risk-averse investors due to their stable cash flow returns and defensive attributes [1] Fund Performance and Growth - Multiple dividend-themed ETFs have reached record high shares, with significant growth in their issuance [2] - As of June 17, the E Fund CSI Dividend Low Volatility ETF reached 1.576 billion shares, an 85% increase since the beginning of the year; the Southern S&P China A-share Large Cap Dividend Low Volatility 50 ETF rose to 6.564 billion shares, a 75% increase; and the Bosera CSI Dividend Low Volatility 100 ETF surpassed 0.945 billion shares, a 74% increase [2] - Overall, the scale of dividend-themed funds has rapidly expanded, with 217 funds showing a 12% growth to 273.941 billion yuan since the beginning of the year [2] - The net inflow for these funds reached 13.778 billion yuan as of June 17, indicating strong investor interest in "low valuation + high dividend" strategies [2] Early Fund Closures - Several dividend low volatility ETFs have closed their fundraising early, reflecting strong demand and investor confidence in their strategies [3] - The early closure of the Great Wall Fund's dividend low volatility ETF, which ended its fundraising on May 30 instead of June 30, highlights this trend [3] - This early closure suggests a structural shift in market risk appetite, with funds moving from a cautious stance to active allocation [3] Increased Dividend Distribution - Fund companies are adjusting their dividend distribution rules to enhance attractiveness, allowing for more frequent distributions [4] - For instance, the Huatai-PineBridge SSE Dividend ETF and Yongying Dividend Selection Mixed Fund have updated their contracts to allow for monthly dividend assessments [4] - This strategy aims to meet investor demand for stable returns and reduce net asset value volatility, attracting long-term capital [4] Institutional Preference - Dividend assets are increasingly viewed as important core holdings for institutions and long-term investors due to their stable cash flow and defensive characteristics [5] - High dividend stocks can provide a "quasi-fixed income" yield of 3% to 5%, appealing to long-term capital needs [6] - Traditional high-dividend sectors such as banking, electricity, and coal are favored for their strong cash flow and valuation safety margins, making them attractive to risk-averse funds [6]

Core Viewpoint - The China Securities Dividend ETF (515080) announced its second dividend distribution for the year, marking its 13th distribution since its inception, with a dividend yield of 0.99% for this quarter [1][2]. Dividend Details - The ETF will distribute 0.15 yuan per ten shares, with a net asset value of 1.5225 yuan on the record date [2]. - Cumulatively, the ETF has distributed a total of 3.5 yuan per ten shares since its launch [2]. Historical Dividend Performance - Over the past five years, the ETF has maintained a stable and consistent dividend distribution rhythm, with annual dividend yields of 4.53%, 4.14%, 4.19%, 4.78%, and 4.66% from 2020 to 2024 [3]. - The total dividends distributed since inception amount to 0.35 yuan per ten shares [3]. Dividend Distribution Schedule - Key dates for the current dividend distribution include: - Profit distribution base date: May 30 - Dividend rights registration date: June 16 - Ex-dividend date: June 17 - Cash dividend payment date: June 20 [5]. Market Insights - June is identified as a critical period for dividend distributions in the A-share market, with high dividend stocks becoming a focus for fund allocation [6]. - Financial, public utilities, and energy sectors are highlighted for their stable cash flows and high dividend yields, attracting long-term investors [6]. - Despite potential selling pressure post-dividend, long-term investors may find this period a favorable entry point [6].