Core Viewpoint - The A-share growth sector is experiencing a rapid correction, with adjustments seen in popular areas such as telecommunications, electronics, military industry, and chips, while the artificial intelligence sector shows continued differentiation and a surge in domestic software stocks [1] Group 1: Market Performance - The AI ETF (515070) saw its holdings, including China Software, rise over 2%, while stocks like Hengxuan Technology, Chipone, and 360 also performed positively [1] - The AI ETF (515070) opened lower and experienced a decline of over 1% during trading, with a transaction volume exceeding 30 million yuan [1] Group 2: Investment Insights - Industrial Securities suggests that the main market line in June may shift back towards technology growth, as the sector has reached a more favorable valuation range after adjustments [1] - The previous theme-based trading that aligned with public fund benchmarks has suppressed the relative allocation towards technology growth, but this trend is loosening [1] - Indicators such as rolling return differences, crowding degree, and transaction share suggest that it is now time to seek specific directions for investment in technology [1] Group 3: AI ETF Composition - The AI ETF (515070) tracks the CS Artificial Intelligence Theme Index (930713), selecting component stocks that provide technology, basic resources, and applications in the AI sector, focusing on the midstream and upstream of the AI industry chain [1] - The top ten weighted stocks in the ETF include leading domestic technology firms such as Cambricon Technologies, Hikvision, Zhongji Xuchuang, Inspur, iFlytek, Will Semiconductor, Newray, Lianqi Technology, Kingsoft, and Unisplendour [1]

Core Insights - The report highlights the increasing recognition of Invesco Great Wall's funds among public fund of funds (FOF) managers, with multiple funds ranking in the top 10 for both number of holdings and market value [1][3] - The performance of Invesco Great Wall's funds, particularly in the technology sector, has been outstanding, with significant excess returns compared to benchmarks [2] Group 1: Fund Performance - Invesco Great Wall's "Quality Evergreen" fund achieved a return of 59.45% over the past year, significantly outperforming its benchmark return of 14.53% [2] - The "Research Select" fund managed by Zhang Xuewei returned 38.26% in the same period, compared to its benchmark of 9.66% [2] - The "Invesco Great Wall CSI Hong Kong Stock Connect Technology ETF" was held by 11 FOFs, with a total market value of 274 million, marking the largest increase in holdings among FOFs [2] Group 2: Fund Holdings and Strategies - The "Invesco Great Wall Jingyi Shuangli" fund was held by 20 FOFs with a total market value of 216 million, while "Invesco Great Wall Jingying Shuangli" was held by 6 FOFs, increasing its holdings by 4 FOFs and market value by 29 million [2] - The "Invesco Great Wall Jingtai Yuli" pure bond fund had a total market value of 119 million, with a scale of 15.2 billion, consistently ranking in the top tier of its category over the past three years [2] Group 3: Strategic Positioning - Invesco Great Wall has diversified its fund offerings across various asset classes, including active equity, passive index, "fixed income plus," and pure bond funds, reflecting its strategy to become a "multi-asset management expert" [3]

Group 1 - The A-share market experienced a slight increase followed by a decline, with average daily trading volume dropping to 1.18 trillion yuan, reflecting limited short-term policy expectations and uncertainties from external shocks [1] - The market style performance showed that consumption outperformed, followed by cyclical, financial, and growth sectors, with most industries declining [1] - Despite external pressures, domestic economic resilience is expected to support the market, with positive developments in US-China trade negotiations anticipated to bolster the domestic economy in Q2 [1] Group 2 - The ongoing US-EU trade friction is expected to benefit safe-haven assets and companies with high export ratios to Europe, while the potential for increased tariffs on European goods may lead to heightened trade tensions [2] - The technology growth sector, particularly in AI, robotics, innovative pharmaceuticals, and military industries, is anticipated to perform well following earnings reports, despite recent pullbacks in self-sufficient sectors [2] - The market may react positively to perceived risks, with potential for increased pressure from the US on the EU, which could ultimately favor safe-haven assets [2]

Core Viewpoint - The A-share market experienced a decline, with the Shanghai Composite Index falling by 0.30% and the ChiNext Index dropping by 1.28%, indicating a bearish sentiment in the market [1][3]. Market Performance - The A-share market saw a total trading volume of 661.07 billion, with 2,527 stocks rising, 2,624 stocks falling, and 257 remaining unchanged [3]. - The Shanghai Composite Index closed at 3,338.42, down by 9.95 points, while the Shenzhen Component Index closed at 10,060.36, down by 72.06 points [3]. - The ChiNext Index fell to 1,995.61, marking a decline of 25.89 points [3]. Sector Performance - Sectors such as controllable nuclear fusion, cloud gaming, superconductors, and shipping saw significant gains, while innovative drugs and automotive sectors weakened [2]. - Main capital flows showed a net inflow into electronic, mechanical equipment, and computer sectors, while there was a net outflow from pharmaceutical, automotive, and banking sectors [4]. Individual Stock Movements - Notable stocks with net inflows included Shenghong Technology (9.31 billion), Shanghai Electric (8.14 billion), and Wuhan Fanggu (6.57 billion) [5]. - Conversely, stocks like BYD, CATL, and Kweichow Moutai faced significant sell-offs, with net outflows of 16.55 billion, 9.29 billion, and 7.88 billion respectively [6]. Market Sentiment and Strategy - Analysts suggest that the rising volatility in the A-share market indicates an increase in risk aversion among investors, recommending a focus on defensive sectors and a "barbell strategy" for asset allocation [8]. - The market is expected to oscillate within the range of 3,340 to 3,360 points, with key support at 3,316 points [9]. Currency and Economic Indicators - The offshore RMB appreciated against the USD, reaching a midpoint of 7.1833, the highest since April 2 [11]. - The People's Bank of China conducted a 3,820 billion reverse repurchase operation with a rate of 1.40% [11]. Other Market Highlights - The Hong Kong market also faced declines, with the Hang Seng Index dropping by 1% and the Hang Seng Tech Index down by 1.32% [1][12]. - The gaming sector showed strength, with stocks like Ice Age Network and Youzu Network experiencing significant gains [26].

Group 1 - The core viewpoint is that the pricing power of core assets is gradually shifting southward, driven by the increasing attractiveness of the Hong Kong stock market due to improved asset supply structure, quality, and liquidity [1] - The recent surge in A-share companies going public in Hong Kong is attributed to a combination of outbound strategies, institutional conveniences, and improved liquidity in the Hong Kong market [1] - The historical context indicates that each round of institutional reform in the Hong Kong Stock Exchange has led to bull markets that align with the characteristics of the times [1] Group 2 - The A-share market is expected to remain in a high central tendency oscillation phase in the second quarter, with short-term adjustments anticipated [2] - The upper limit of the oscillation is supported by export resilience, while the lower limit is linked to the relationship between loose monetary policy and capital market stability [2] - Short-term focus remains on sectors like pharmaceuticals (CXO and innovative drugs) and precious metals, while technology is still undergoing a mid-term adjustment phase [2] Group 3 - The market sentiment has shown signs of retreat, with increased trading activity in micro-cap stocks, indicating potential market risks due to crowded trading [3] - The central bank's financial policies aim to support the real economy and may bring fresh capital into the market [3] - The focus is on "new quality domestic demand growth," emphasizing sectors like social services, retail, and pharmaceuticals [3] Group 4 - The recent volatility in overseas financial markets, including rising long-term bond yields, has increased market risk aversion, necessitating a more cautious approach [4] - The micro-cap style has recorded significant relative gains, driven by a market environment characterized by rapid rotation and stock selection for excess returns [4] - The trading volume of the CSI 2000 index has reached a high of 32%, indicating a crowded market that may lead to increased volatility [4] Group 5 - The market is expected to refocus on technology growth, particularly in the AI industry, with attention on upstream and downstream applications [5][6] - Historical patterns suggest that industry rotation typically slows down from mid to late May, indicating a potential consolidation phase for market leadership [5] Group 6 - A-share indices are likely to undergo revaluation as quality indices strengthen, driven by stable cash flows and declining capital expenditures [7] - The trend of a weak dollar and strong renminbi is expected to benefit core assets represented by quality growth indices [7] Group 7 - The recent rise in global risk aversion, primarily due to fluctuating U.S. tariff policies and rising long-term bond yields, may indirectly affect A-share sentiment [8] - The regulatory environment is supportive of the stock market, with expectations of continued inflows from long-term funds [8] Group 8 - The market is currently experiencing a lack of sustained upward momentum, with frequent style switches between large and small caps [9] - Structural opportunities are present, particularly in high-margin assets and sectors benefiting from policy support for consumption [9] Group 9 - The short-term outlook for A-shares is characterized by a consolidation phase, with resilience expected as long as there is no global liquidity crisis [10] - The market's upward potential is contingent on the strength of economic recovery, with "quasi-stabilizing funds" helping to mitigate downside risks [10] Group 10 - The historical performance of dividend assets shows a tendency to underperform in June, suggesting a potential "headwind" period for these assets [12] - Despite this, dividend assets remain a long-term strategic choice for investors amid geopolitical uncertainties and ongoing trade tensions [12]

Group 1 - The A-share market experienced a collective decline on May 26, with the ChiNext index showing significant fluctuations, opening down nearly 0.9% [1] - The Guangfa ChiNext ETF (159952) saw active trading, with a transaction volume exceeding 38 million yuan by 11 AM, indicating a notable increase compared to the previous trading day [1] - The Guangfa ChiNext ETF has a current scale of 9.7 billion yuan, ranking among the top two in its category, and features a low fee structure with a management fee of 0.15% and a custody fee of 0.05% [1] Group 2 - The ChiNext index is characterized by its strong growth potential, with significant weight in high-growth sectors such as power equipment (30.9%), pharmaceuticals (13.5%), and electronics (11.7%), collectively accounting for about 56% [1] - As of May 25, the price-to-earnings ratio of the ChiNext index was only 30.7 times, which is at a low percentile level of less than 24% over the past five years, indicating attractive investment value [1] - According to Industrial Securities, the market is currently experiencing increased volatility and rapid sector rotation, suggesting a potential focus on technology growth in the upcoming structural market phase [2]

Group 1 - The focus of brokerage strategies this week is on the crowdedness of small-cap stocks and the calendar effect in June [1][6] - Historical data shows that the performance of major dividend assets in June is significantly weaker, with the probability of outperforming the CSI 300 and Wind All A being only 25% and 12.5% respectively, and the probability of an increase at only 37.5%, which is a noticeable decline compared to May [1][2] - The negative calendar effect in June for dividend assets may be related to the concentrated dividend payouts during this period, leading some funds to cash out before and after the dividend dates [1][3] Group 2 - The technology growth sector is expected to become the market's main focus in June, as it has reached a more favorable valuation range after adjustments [3][9] - The crowdedness in various technology sub-sectors has decreased to a relatively low level, with TMT's rolling 40-day return difference recently rebounding from a -10% historical low, although it remains at a historically low level [3][9] - The trading volume of TMT has dropped to around 22%-23%, which is lower than the levels seen during most adjustments in 2023 and 2024 [3][9] Group 3 - The small-cap index has seen increased volatility since reaching a high crowdedness state with a trading volume share of 30% in 2023, indicating potential risks from market sentiment shifts and policy statements [6][9] - Recent data shows that the enthusiasm for small-cap stocks has decreased, with a notable decline in the speed of capital inflow and a drop in new A-share account openings compared to the previous year [6][7] - The market is expected to continue a range-bound consolidation pattern, with small-cap styles potentially facing a phase of adjustment [9][10]

Group 1: Report Industry Investment Rating - Not provided in the content Group 2: Core Views of the Report - This week, the market fluctuated and consolidated. Major broad - based indices and convertible bond indices recorded negative returns, but most sectors had shallow declines. The domestic market is still waiting for incremental information, with adjustments concentrated in previously crowded small - cap stocks, and bond yields showed a fluctuating downward trend. In May, the equity market may replicate the 2020 "first fluctuate, then break through" path under the expectations of seizing exports, stabilizing domestic demand, and stabilizing the capital market [1][3]. - In the short - term, the risk of a significant market decline is limited, and the fluctuating pattern is expected to continue. It is recommended to focus on high - grade, fundamentally stable convertible bonds, and the dumbbell strategy is dominant. In terms of strategies, it is necessary to balance defensive stability and theme flexibility, and dynamically balance the industry's prosperity rhythm and valuation cost - effectiveness [3]. - In terms of individual bonds, the top 10 convertible bonds in the low - volatility portfolio in May are Wenshan Convertible Bond, Ran 23 Convertible Bond, etc.; the top 10 in the stable portfolio are Yong 02 Convertible Bond, Dongjie Convertible Bond, etc.; the top 10 in the high - volatility portfolio are Furong Convertible Bond, Qilin Convertible Bond, etc. [3] Group 3: Summary by Relevant Catalogs 1. Convertible Bond Market Tracking 1.1 Convertible Bond Market Trends - The report provides the performance data of various convertible bond indices in different time periods (such as the past week, two weeks, since March, etc.). For example, the Wind Convertible Bond Energy Index had a 0.16% increase in the past week, while the Wind Convertible Bond Optional Consumption Index had a 0.77% decline in the past week [9]. 1.2 Convertible Bond Individual Bonds - Not elaborated in detail in the provided content 1.3 Convertible Bond Valuations - Not elaborated in detail in the provided content, but mentions the valuation trends of different types of convertible bonds (such as bond - type, balanced, and stock - type) through figures [20] 1.4 Convertible Bond Prices - The report presents the trends of high - price bond ratio, low - price bond ratio, the proportion of bonds breaking the bond floor, and the median price of the convertible bond market through figures [27][35]

Core Insights - The report emphasizes the importance of discovering investment opportunities with a proactive attitude rather than merely relaying information [1] Macro News Summary - The National Development and Reform Commission is continuously improving policy tools to ensure timely implementation when necessary [4] - The People's Bank of China held a seminar to enhance financial support for the real economy, focusing on technology innovation [4] - China and the ten ASEAN countries have completed negotiations for the China-ASEAN Free Trade Area 3.0 [4] Industry Dynamics - The deployment of IPv6 is being advanced by three departments, with related stocks like Fenghuo Communication and ZTE expected to benefit [5] - The wearable device sector, particularly exoskeleton robots, is gaining attention as commercial applications accelerate, with stocks such as Xiangyu Medical and Jinggong Technology highlighted [5] - Sichuan is expediting the implementation of its first brain-computer interface surgery, indicating promising commercial prospects for related companies like Innovation Medical and Chengyitong [5] Company Focus - Foton Motor is collaborating with Huawei Digital Energy to accelerate the electrification of heavy trucks [6] - Chuangyao Technology is promoting advanced communication technologies to empower smart healthcare, focusing on intelligent healthcare robots [6] - Intercontinental Oil and Gas plans to increase capital in its wholly-owned subsidiary Hong Kong Derui by USD 6.8 million [6] - Jiuhua Tourism intends to raise no more than 500 million yuan through a private placement to invest in projects like passenger cable cars [6] Market Review and Outlook - On May 21, the market experienced a high and then a pullback, with the three major indices showing slight increases. The Shanghai Composite Index rose by 0.21%, the Shenzhen Component Index by 0.44%, and the ChiNext Index by 0.83% [7] - The trading volume in the Shanghai and Shenzhen markets reached 1.17 trillion yuan, an increase of 37.8 billion yuan from the previous trading day [7] - The report anticipates limited upward or downward movement in the A-share market in the short to medium term, with a lack of strong main lines for investment. It suggests focusing on industries with long-term development logic, such as technology growth, high-end manufacturing, and new consumption [7]

Group 1 - A-shares showed mixed performance on May 22, with growth sectors like semiconductors, communications, and charging piles leading the gains [1] - The A500 Index ETF (159351) saw active trading, with a transaction amount exceeding 500 million yuan and a turnover rate over 3.5% [1] - The A500 Index ETF recorded a net inflow of over 23 million yuan on May 21, bringing its latest scale to 14.379 billion yuan [1] Group 2 - Insurance funds have conducted a total of 7,677 surveys on A-share listed companies as of May 21, focusing on high-dividend and technology growth sectors [2] - Experts indicate that insurance capital is likely to continue optimizing a "barbell" asset allocation strategy, seeking long-term sustainable investment opportunities [2] - Financial analysts suggest maintaining a balanced allocation strategy, with a focus on export industry chains, self-sufficiency, and high-dividend sectors in the current market environment [2]