- The report tracks and analyzes the market data of major indices, including their performance, moving averages, turnover rates, and risk premiums[1][2][3] - The indices' daily performance is evaluated, with the CSI 500 showing the highest annual increase of 13.95%, followed by the CSI 1000 and CSI 2000[10] - The comparison of indices with their moving averages and the highest and lowest points over the past 250 trading days is provided, showing significant pullbacks after reaching new highs[12][13] - The turnover rates of various indices are analyzed, with the CSI 2000 having the highest turnover rate of 5.34%[16] - The distribution of daily returns is examined, with the ChiNext Index showing the largest negative skewness and the CSI 500 the smallest[22][23] - The risk premiums of the indices relative to the 10-year government bond yield are calculated, with the Shanghai 50 and CSI 300 having the highest 5-year percentile values[25][26][29] - The PE-TTM ratios of the indices are analyzed, with the CSI 500 and CSI 1000 having the highest 5-year percentile values of 99.92%[37][40][41] - The dividend yields of the indices are tracked, with the ChiNext Index and CSI 300 having the highest 5-year historical percentile values[45][51][53] - The percentage of stocks trading below their net asset value is analyzed, with the Shanghai 50 having the highest percentage of 24.0%[52][55]

1. Report Industry Investment Rating No relevant content provided. 2. Core Viewpoints of the Report - The report is optimistic about the equity market before the end of February, and focuses on whether the current growth - dominant style can gradually shift to a balanced or even value - dominant style. If this scenario occurs, the risk of bond market adjustment in February will increase [2][9][22]. - In the context of the marginal convergence of the national balance sheet, the top - down subjective allocation strategy focusing on position selection and style judgment will receive more attention and favor from the market [9][22]. - In the de - leveraging cycle, the margin of the stock - bond ratio in favor of equities is limited, and the probability of value being relatively dominant in style is higher [10][58]. 3. Summary by Directory 3.1 National Balance Sheet Analysis 3.1.1 Liability Side - In December 2025, the liability growth rate of the real sector was 8.4%, down from the previous value of 8.6%, in line with expectations. It is expected to continue to decline to around 8.3% in January 2026. The local bond issuance rhythm seems to have accelerated this week. If it continues in February, it may drive a slight rebound in the liability growth rate of the real sector, but the probability of further relaxation of the capital market in February is limited [2][17]. - The central bank's fourth - quarter meeting in 2025 indicated that the general direction of stabilizing the macro - leverage ratio remains unchanged, and it is waiting for the quantitative fiscal targets to be given at the Two Sessions in 2026 [2][17]. 3.1.2 Fiscal Policy - Last week, the net increase of government bonds (including national and local bonds) was 62.14 billion yuan, higher than the planned 50.75 billion yuan. Next week, the planned net increase is 14.13 billion yuan. The government liability growth rate at the end of December 2025 was 12.4%, down from the previous value of 13.1%. It is expected to rebound to around 12.5% in January 2026 and likely decline again in February [3][18]. 3.1.3 Monetary Policy - Last week, the capital trading volume decreased, the capital price decreased, and the term spread narrowed on a weekly average basis. After excluding seasonal effects, the capital market slightly tightened. The one - year Treasury bond yield oscillated upward, closing at 1.28% at the weekend. It is estimated that the lower limit of the one - year Treasury bond yield is about 1.3%, and the central value is around 1.4%. It is expected to cut interest rates by 10 basis points in 2026. The term spread between the ten - year and one - year Treasury bonds narrowed to 55 basis points. The bond market shows that the capital market has basically reached the limit of relaxation [3][18]. 3.1.4 Asset Side - In December 2025, the physical quantity data continued to run smoothly compared with November. It is necessary to focus on whether the economy can continue to stabilize or even improve marginally. The Two Sessions set the annual real economic growth target for 2025 at around 5%. Based on the deficit and deficit rate (4%), the annual nominal economic growth target is 4.9%. It is necessary to further observe whether a nominal economic growth rate of around 5% will become the central target for China's nominal economic growth in the next 1 - 2 years [4][19]. 3.2 Stock - Bond Cost - Effectiveness and Stock - Bond Style - Since 2011, China has entered a downward cycle of potential economic growth, which seems to have ended in the fourth quarter of 2024. Subsequently, China's profit cycle has entered a state of low - level narrow - range oscillation. The Chinese government put forward three policy goals in 2016: stabilizing the macro - leverage ratio, making the financial sector benefit the real economy, and ensuring that houses are for living in, not for speculation. Currently, the convergence of the liability side has not ended, but the space is limited [7][20]. - Overseas, China and the United States are in a state of equal - strength competition. If the valuation of the technology fields where the United States was previously leading undergoes a systematic re - evaluation, global funds may flow from the United States to China. Attention should be paid to whether the RMB exchange rate begins to gradually enter an appreciation channel. The risk preference may also enter a range - bound state following the profit [7][20][21]. - Last week, the capital market slightly tightened. The equity market rose as a whole, but value stocks continued to weaken, with the growth style remaining dominant. In terms of bond yields, the long - end declined slightly, and the short - end rose. The stock - bond cost - effectiveness slightly favored equities. The ten - year Treasury bond yield decreased by 1 basis point to 1.83%, the one - year Treasury bond yield increased by 4 basis points to 1.28%, the term spread narrowed to 55 basis points, and the 30 - year Treasury bond yield decreased by 2 basis points to 2.29%. The full - position equity strategy with equal allocation of growth and value performed well, and the broad - based rotation strategy outperformed the CSI 300 index by 1.29 pct last week. Since its establishment in July 2024, the broad - based rotation strategy has underperformed the CSI 300 index by - 1.49 pct, with a maximum drawdown of 12.1% (compared with 15.7% for the CSI 300 index) [8][21]. - This week, the Shanghai 50 Index (60% position) and the CSI 1000 Index (40% position) are recommended. The broad - based index recommendation is a top - down subjective allocation strategy focusing on position selection and style judgment, which can accommodate a large amount of funds, has small fluctuations, and good liquidity [9][22]. 3.3 Industry Recommendation 3.3.1 Industry Performance Review - This week, the A - share market rose with shrinking trading volume. The Shanghai Composite Index rose 0.84%, the Shenzhen Component Index rose 1.1%, and the ChiNext Index fell 0.3%. Among the Shenwan primary industries, building materials, petroleum and petrochemicals, steel, basic chemicals, and non - ferrous metals had the largest increases, with weekly increases of 9.2%, 7.7%, 7.3%, 7.3%, and 6% respectively. Banks, communications, non - bank finance, food and beverages, and pharmaceuticals had the largest declines, with weekly declines of - 2.7%, - 2.1%, - 1.5%, - 1.4%, and - 0.4% respectively [28]. 3.3.2 Industry Crowding and Trading Volume - As of January 23, the top five industries in terms of crowding were electronics, power equipment, machinery, non - ferrous metals, and computers, with crowding degrees of 17.7%, 11.7%, 7.3%, 7.3%, and 6.7% respectively. The bottom five were beauty care, comprehensive, coal, social services, and textile and apparel, with crowding degrees of 0.2%, 0.2%, 0.4%, 0.6%, and 0.6% respectively. - This week, the top five industries with the largest increase in crowding were national defense and military industry, basic chemicals, power equipment, non - ferrous metals, and machinery, with increases of 1.4%, 1%, 0.8%, 0.7%, and 0.5% respectively. The top five with the largest decline were electronics, computers, communications, pharmaceuticals, and social services, with changes in crowding degrees of - 2%, - 1.8%, - 0.7%, - 0.3%, and - 0.2% respectively. - As of January 23, the crowding degrees of national defense and military industry, power equipment, electronics, non - ferrous metals, and machinery were at the 98.7%, 93.7%, 92.8%, 89.5%, and 86.9% quantiles since 2018 respectively, which were relatively high. Transportation, food and beverages, agriculture, forestry and animal husbandry, beauty care, and pharmaceuticals were at the 0.4%, 0.7%, 2.4%, 2.6%, and 2.9% quantiles respectively, which were relatively low. - This week, the average daily trading volume of the entire A - share market was 2.8 trillion yuan, up from 3.47 trillion yuan last week. Basic chemicals, real estate, public utilities, building materials, and steel had the highest year - on - year growth rates in trading volume, with changes of 7.5%, 7.3%, 4.4%, 3.5%, and 3.2% respectively. Media, computers, non - bank finance, social services, and commercial retail had the largest declines in trading volume, with changes of - 45.9%, - 44.6%, - 44.2%, - 38.5%, and - 37.3% respectively [29][32]. 3.3.3 Industry Valuation and Earnings - This week, among the Shenwan primary industries, building materials, petroleum and petrochemicals, steel, basic chemicals, and non - ferrous metals had the largest increases in PE(TTM), with changes of 9.3%, 7.7%, 7.4%, 7.4%, and 6.1% respectively. Banks, communications, food and beverages, non - bank finance, and pharmaceuticals had the largest declines, with valuation changes of - 2.8%, - 2.1%, - 1.4%, - 1.4%, and - 0.5% respectively. - In terms of valuation - earnings matching, as of January 23, 2026, industries with relatively high full - year 2024 earnings forecasts and relatively low current valuations compared to history include banks, insurance, coal, public utilities, transportation, pharmaceuticals, beauty care, new energy, and consumer electronics [35][36]. 3.3.4 Industry Prosperity - In terms of external demand, there were mixed trends. In December, the global manufacturing PMI decreased from 50.5 to 50.4, and the PMIs of major economies showed mixed trends. The CCFI index decreased by 0.09% week - on - week in the latest week. Port cargo throughput declined. South Korea's export growth rate rose to 13.4% in December and to 14.9% in the first 20 days of January. Vietnam's export growth rate rose from 15.8% in November to 23.9% in December. - In terms of domestic demand, the second - hand housing price rose in the latest week, and the quantity indicators showed mixed trends. The traffic volume of trucks on expressways increased. The capacity utilization rate of ten industries fitting continued to decline from September to October 2025, continued to rise from November to December, and slightly declined in January. Automobile trading volume was relatively weak compared to historical seasonality, new - home sales remained at a historical low, and second - hand home sales were relatively weak compared to historical seasonality. As of January 18, the national urban second - hand housing listing price index rose 0.27% compared to last week. As of January 2, the producer price index rose 0.3% week - on - week [39]. 3.3.5 Public Offering Market Review - In the third week of January (January 19 - 23), most active public offering equity funds outperformed the CSI 300. The weekly growth rates of the 10%, 20%, 30%, and 50% quantiles were 4.7%, 3.5%, 2.7%, and 1.5% respectively, while the CSI 300 declined 0.6% weekly. - According to the latest net value and share estimates, as of January 23, the net asset value of active public offering equity funds was 4.06 trillion yuan, up from 3.66 trillion yuan in Q4 2024 [55]. 3.3.6 Industry Recommendation - In the de - leveraging cycle, the margin of the stock - bond ratio in favor of equities is limited, and the probability of value being relatively dominant in style is higher. Red - chip stocks are generally expected to have three characteristics: no balance - sheet expansion, good earnings, and survival. Combining these three characteristics with the under - allocation in the public offering's fourth - quarter report, the recommended A + H red - chip portfolio includes 13 A + H stocks, and the A - share portfolio includes 20 A - share stocks, mainly concentrated in industries such as banks, telecommunications, petroleum and petrochemicals, and transportation. Some industries with a large number of stocks, such as banks, have been appropriately streamlined [10][58].

- The report does not contain any specific quantitative models or factors for analysis[1][2][3] - The report primarily focuses on market performance, valuation metrics, style indices, and fund flows without detailing quantitative model construction or factor definitions[1][2][3] - No formulas or detailed construction processes for models or factors are provided in the report[1][2][3]

Group 1 - The core point of the news highlights the significant subscription of over 150 billion for the Debon Stable Growth Fund, with more than 120 billion coming from the Ant platform, indicating a rapid growth strategy through marketing partnerships with top influencers [1][7] - The fund's Q3 scale was just over 1.4 billion, and after the recent subscriptions, it has jumped from 76th to approximately 65th in non-monetary scale rankings [1][7] - The recent 17 consecutive days of market gains are reminiscent of the bull market at the end of 2017 and early 2018, suggesting potential volatility ahead due to external factors like U.S. policies and domestic deleveraging [1][7] Group 2 - The copper-oil ratio, which indicates the relationship between copper and oil prices, has shown a high correlation with the Hang Seng Technology Index over the past two years, suggesting a favorable outlook for technology-related funds in the coming six months [2][8] - A rising copper-oil ratio typically signals economic recovery, while a declining ratio indicates increasing stagflation risks [2][8] Group 3 - The report includes a ranking of various fund management companies, with Debon Fund Management ranked 76th with a scale of 494.39 million, indicating its position in the competitive landscape [4][10]

- The report does not contain any specific quantitative models or factors for analysis [1][2][3] - The report primarily focuses on market trends, valuation metrics, and style performance without detailing quantitative models or factor construction [1][2][3] - No formulas, construction processes, or backtesting results for quantitative models or factors are provided in the report [1][2][3]

Core Viewpoint - The overall market has recently risen, returning to a 3.9-star rating for the first time in years, indicating a potential shift in investment sentiment and market valuation [1]. Quantitative Signals - The Buffett Indicator, which measures the total market capitalization against GDP, shows that the market is moving from undervalued to a reasonable range as it approaches 80% [22]. - The price-to-book ratio percentile indicates that the current valuation is relatively high, with growth styles, especially small-cap growth, having rebounded significantly from historical lows [24]. - The stock-bond yield ratio is currently at 2.42, suggesting that stocks are undervalued compared to bonds, as this value exceeds the historical average for 76% of the time [26]. Qualitative Signals - The current financing balance in the A-share market is 25,434 billion, indicating a more active market compared to previous years [4]. - The number of new stock issuances and the rate of initial public offering (IPO) failures are low, suggesting a bullish market sentiment as the failure rate has decreased significantly [32]. - The liquidity represented by M2 shows that the market is not at a low point, as the overall performance of the index is moving away from the M2 calculated bottom [34]. Market News - Recent policy changes, such as interest rate cuts and support for stock index funds, have been implemented to boost market confidence and activity [48].

- The report primarily focuses on tracking and analyzing the performance of broad-based indices in the A-share market, including metrics such as daily returns, moving averages, turnover rates, risk premiums, PE-TTM, dividend yields, and price-to-book ratios[1][2][3] - The turnover rate of indices is calculated using the formula: $ \text{Turnover Rate} = \frac{\Sigma(\text{Component Stocks' Free Float Shares} \times \text{Component Stocks' Turnover Rate})}{\Sigma(\text{Component Stocks' Free Float Shares})} $ This metric reflects the liquidity and trading activity of the indices[15] - The risk premium is measured relative to the 10-year government bond yield, serving as a benchmark for assessing the relative investment value and deviation of indices. The report highlights that indices like CSI 500 and SSE 50 exhibit high 5-year percentile values for risk premiums, indicating relatively attractive valuations[25][26][29] - The PE-TTM (Price-to-Earnings Trailing Twelve Months) is used as a valuation metric, with indices such as CSI 500 and CSI All Share showing high 5-year percentile values (99.92%), suggesting elevated valuations compared to historical levels[37][40][42] - Dividend yield is analyzed as a measure of cash return to investors, with indices like the ChiNext Index and CSI 300 showing relatively high 5-year historical percentile values (57.93% and 31.65%, respectively), indicating their attractiveness during periods of market downturns or declining interest rates[46][51][53] - The price-to-book ratio (P/B) is evaluated through the "break net ratio," which measures the proportion of stocks trading below their book value. The report notes that indices such as SSE 50 and CSI 300 have higher break net ratios, reflecting market sentiment and valuation levels[52][55]

1. Report Industry Investment Rating No relevant information provided. 2. Core Viewpoints of the Report - The bond market declined at the beginning of the year, with the yields of ultra - long - term interest - rate bonds rising significantly. The 10 - year and 30 - year treasury bond yields increased by 3.6bps and 4.3bps respectively to 1.88% and 2.31% compared to the previous week [1][9]. - The decline is due to multiple factors, including the strong performance of the stock market, concerns about bond supply, low central bank bond - buying volume, potential impacts from the surge in credit and social financing at the beginning of the year, and the temporary rebound in inflation data [1][2][9]. - Despite the current pressures, the relative value of bonds is changing. The impact of supply pressure is more about rhythm rather than trend, the inflation rebound's sustainability needs further observation, and the central bank's bond - buying has a cumulative effect and may increase [3][4]. - The stabilizing forces in the bond market are gradually strengthening. The bond market may remain volatile in January, and there may be a configuration opportunity at the end of the month [5][37]. 3. Summary by Related Content Reasons for the Bond Market Decline at the Beginning of the Year - **Stock Market Performance**: The strong stock market at the beginning of the year attracted non - bank funds from the bond market to the stock market and made investors more cautious about bond investment, shortening the duration and reducing long - term bond allocation. The Shanghai Composite Index exceeded 4000 points, rising more than 100 points in the first two trading days [2][9]. - **Supply Concerns**: The large - scale bond issuance in the first week and the significant increase in the single - issue size of treasury bonds raised concerns about future supply. The net financing of government bonds in the first week was 612.7 billion yuan, with treasury bond net financing of 495 billion yuan. The single - issue sizes of 2 - year and 10 - year treasury bonds this week were 175 billion yuan and 180 billion yuan respectively, significantly higher than the second half of last year [2][14]. - **Central Bank Bond - Buying**: The central bank's net purchase of treasury bonds in December was 5 billion yuan, the same as in November, which was lower than market expectations and increased the adjustment pressure on the bond market [2][19]. - **Other Factors**: At the beginning of the year, there may be impacts from the surge in credit and social financing and the temporary rebound in inflation. It is expected that the year - on - year CPI growth in December will expand to 1.1%, and the year - on - year decline in PPI may narrow to - 1.9% [2][22][23]. Analysis of the Mitigating Factors - **Stock - Bond Relative Value**: The stock - bond relative value is changing. The difference between the inverse of the P/E ratio of Wind All - A (excluding financial and petroleum sectors) and the 10 - year bond yield has returned to the level at the beginning of 2023. Bonds may even be more cost - effective compared to the current PMI [3][26]. - **Supply Pressure**: The increase in government bond supply is more of a rhythm issue. The incremental financing in 2026 may be limited compared to 2025. After the peak of credit and government bond issuance at the end of January, the impact on the bond market will gradually fade [3][29]. - **Inflation Rebound**: The temporary rebound in inflation is mainly driven by factors such as rising non - ferrous metal prices and short - term weather - related food price increases. Its impact on interest rates is limited, similar to the situation in 2019 - 2020 [4][30]. - **Central Bank Bond - Buying**: The central bank's bond - buying has a cumulative effect. Even with a monthly purchase of 5 billion yuan, the annual purchase will be about 60 billion yuan. As government bond supply increases, the purchase volume may also increase [4][31]. Outlook for the Bond Market - The bond market may remain volatile in January, with short - term interest rates potentially rising. After the supply shock at the end of the month, the bond market is expected to gradually recover. In the short term, a short - end leverage strategy can be adopted, waiting for configuration opportunities [5][37].

- The report primarily focuses on tracking and analyzing the performance of broad-based indices in the A-share market, including their daily returns, moving averages, turnover rates, and valuation metrics such as PE-TTM and dividend yield[1][2][4] - The turnover rate of the indices is calculated using the formula: $ \text{Turnover Rate} = \frac{\Sigma(\text{Component Stock Free Float Shares} \times \text{Component Stock Turnover Rate})}{\Sigma(\text{Component Stock Free Float Shares})} $ This metric reflects the liquidity and trading activity of the indices[19] - The risk premium of the indices is measured relative to the 10-year government bond yield, serving as a benchmark for risk-free rates. The report highlights the mean-reversion behavior of risk premiums and their volatility trends over time[29][30] - The PE-TTM (Price-to-Earnings Trailing Twelve Months) is used as a valuation metric to assess the investment value of indices. The report observes that the PE-TTM values of indices like CSI 500 and CSI All Share are at relatively high historical percentiles, while indices like SSE 50 and ChiNext are at lower percentiles[41][44][45] - Dividend yield is analyzed as a measure of cash return to investors. The report notes that indices such as ChiNext and CSI 300 have relatively high historical percentiles for dividend yield, while CSI 500 and CSI 2000 are at lower percentiles[50][52][56] - The report also tracks the net asset value (NAV) break rate, which indicates the proportion of stocks trading below their book value. A higher break rate suggests undervaluation, while a lower rate may indicate market optimism. Current break rates for indices like SSE 50 and CSI 300 are higher compared to others like CSI 2000 and CSI All Share[57][59]

Report Industry Investment Rating No relevant content provided. Core Viewpoints - The current RMB exchange - rate appreciation is more likely the third scenario where domestic entities' risk preference changes, so it does not benefit Hong Kong stocks, and the sustainability of the RMB's strength is questionable. It is hoped that future RMB appreciation will be the first scenario, corresponding to the burst of the US tech bubble [17]. - In the de - leveraging cycle, the bias of the stock - bond ratio in favor of equities is limited, and the value style has a higher probability of relative dominance [9][58]. Summary by Directory 1. National Balance Sheet Analysis - **Liability Side**: In November 2025, the liability growth rate of the real sector was 8.6% (previous value 8.7%), expected to decline to around 8.3% in December. The money market continued to loosen marginally last week. The central bank's stance indicates that the goal of stabilizing the macro - leverage ratio remains unchanged, waiting for the quantitative fiscal target from the Two Sessions in 2026 [2][16]. - **Fiscal Policy**: Last week, the net increase in government bonds was 1707 billion yuan (higher than the planned 1148 billion yuan), and the planned net increase next week is 174 billion yuan. The government liability growth rate is expected to decline to around 12.4% in December from 13.1% in November [2][18]. - **Monetary Policy**: Last week, the average weekly trading volume and price of funds increased, and the term spread widened. The one - year Treasury yield dropped to 1.29% at the weekend. The market may have over - anticipated a 2026 interest - rate cut. The term spread between the ten - year and one - year Treasuries widened to 55 basis points. The money - market loosening may be approaching its limit [3][18]. - **Asset Side**: In November, physical quantity data showed signs of stabilizing at a low level. The full - year nominal economic growth target for 2025 is 4.9%, and it is necessary to confirm whether 5% will be the central target for China's nominal economic growth in the next 1 - 2 years [3][19]. 2. Stock - Bond Cost - Effectiveness and Stock - Bond Style - **Economic Cycle**: Since 2011, China has entered a downward cycle of potential economic growth, which seems to have ended in Q4 2024. The Chinese government put forward three policy goals in 2016. Currently, the convergence on the liability side is not over but has limited space. If the valuation of the US technology sector is re - evaluated, global funds may flow to China [6][20]. - **Last Week's Market Performance**: The money market continued to loosen, risk preference rose, and the growth style dominated. The stock - bond ratio favored stocks. The ten - year Treasury yield rose 1 basis point to 1.84%, the one - year yield dropped 7 basis points to 1.29%, and the 30 - year yield remained stable at 2.22%. The broad - based rotation strategy underperformed the CSI 300 by - 0.32 pct last week and - 5.41 pct since July 2024 [7][21]. - **Investment Recommendations**: Bonds at the long end are considered to have investment value. For equities, a neutral stance is taken, with a focus on style. Before seeing the government's bond - issuance plan, the value style is expected to dominate. This week, the Shanghai 50 Index (60% position), the CSI 1000 Index (20% position), and the 30 - year Treasury ETF (20% position) are recommended [8][22]. 3. Industry Recommendations - **Industry Performance Review**: This week, A - shares rose with increased trading volume. Among Shenwan primary industries, non - ferrous metals, national defense and military industry, power equipment, electronics, and building materials had the largest increases, while beauty care, social services, banks, coal, and food and beverage had the largest declines [28]. - **Industry Crowding and Trading Volume**: As of December 26, the top five crowded industries were electronics, power equipment, machinery, national defense and military industry, and non - ferrous metals. The trading volume of the whole A - share market rebounded. Transportation, non - ferrous metals, and other industries had the highest trading - volume growth rates, while banks, coal, and other industries had the largest declines [31][32]. - **Industry Valuation and Earnings**: This week, the PE(TTM) of non - ferrous metals, national defense and military industry, and other industries increased the most, while that of social services, beauty care, and other industries decreased the most. Industries with high 2024 full - year earnings forecasts and relatively low current valuations include banks, securities, and others [36][37]. - **Industry Prosperity**: Externally, there was a marginal decline. The global manufacturing PMI decreased in November, and export growth rates of some countries changed. Domestically, the second - hand housing price dropped, and quantity indicators fluctuated. The highway truck traffic volume declined, and the industrial capacity utilization rate showed a fluctuating trend [41]. - **Public - Fund Market Review**: In the fourth week of December, most active public - fund equity funds outperformed the CSI 300. As of December 26, the net asset value of active public - fund equity funds slightly increased compared to Q4 2024 [55]. - **Industry Recommendations**: In the de - leveraging cycle, the stock - bond ratio favors equities to a limited extent, and the value style is more likely to dominate. The recommended A + H dividend portfolio includes 13 stocks, and the A - share portfolio includes 20 stocks, mainly in industries such as banks, telecommunications, and oil and petrochemicals [9][58].