Group 1: Financial Asset Observations - In April 2025, new social financing amounted to 1.16 trillion RMB, a decrease from 5.89 trillion RMB in the previous period[1] - The total amount of new RMB loans was 280 billion RMB, down from 3.64 trillion RMB previously[1] - The year-on-year growth of social financing stock was 8.7%, compared to 8.4% in the previous period[1] Group 2: Loan Structure Changes - Since September 2024, there has been a continuous increase in consumer loans while operating loans have been declining[2] - For enterprises, short-term loans are increasing while medium to long-term loans are decreasing[2] - The proportion of medium to long-term loans in enterprise loans has decreased from approximately 76% in 2023 to about 62% in 2025[5] Group 3: Economic Cycle Indicators - The enterprise-resident deposit scissors difference improved from -14.7% in August 2024 to -8.4% currently, indicating a recovery in the economic cycle[6] - Non-bank institutions saw a strong increase in deposits, with a total of 2.2 trillion RMB added in the first four months of 2025, higher than previous years[6] Group 4: Government Leverage and Financing - In April, the net financing of government bonds was 972.9 billion RMB, an increase of 10.67 trillion RMB year-on-year[6] - The total social financing increment was 11.59 trillion RMB, with a year-on-year increase of 12.25 trillion RMB[6] - M2 growth was 8% year-on-year, up from 7% in the previous month[6]

Core Viewpoint - The credit bond ETF from Bosera is experiencing a tight market with active trading and significant liquidity, reflecting a structural contrast in credit expansion and economic policies in China [2][3]. Group 1: Market Performance - As of May 15, 2025, the Bosera credit bond ETF is priced at 100.54 yuan, with a turnover rate of 25.28% and a trading volume of 1.521 billion yuan, indicating active market participation [2]. - The ETF has reached a new high in scale at 6.028 billion yuan and a new high in shares at 59.9751 million, ranking in the top quarter among comparable funds [3]. - Over the past five days, the ETF has seen continuous net inflows, with a maximum single-day inflow of 286 million yuan, totaling 515 million yuan, averaging 103 million yuan daily [3]. Group 2: Financial Metrics - The ETF has recorded a maximum drawdown of 0.89% since inception, with a recovery period of 26 days, indicating resilience in performance [3]. - The management fee is 0.15% and the custody fee is 0.05%, which are the lowest among comparable funds [3]. - The ETF has a historical monthly profit percentage of 66.67% and a 100% probability of profit over a three-month holding period [3]. Group 3: Economic Context - As of April 2025, China's social financing scale increased by 8.7% year-on-year, with M2 balance growing by 8%, indicating a robust monetary environment [2]. - The average interest rate for new corporate loans in April was approximately 3.2%, down by about 4 basis points from the previous month, maintaining a historically low level [2]. - The current economic policies are focused on expanding fiscal measures to stimulate consumption and investment, with potential for further monetary easing [2].

Core Viewpoint - The central viewpoint of the article emphasizes that the combination of loose monetary policy and fiscal efforts is supporting credit expansion, with M2 and social financing growth rates exceeding expectations, despite short-term pressures from local debts and external uncertainties [1][3]. Group 1: Financial Data Overview - As of the end of April, M2 balance reached 325.17 trillion yuan, with a year-on-year growth of 8%, surpassing the market expectation of 7.2% [3]. - M1 balance stood at 109.14 trillion yuan, showing a year-on-year increase of 1.5%, with a slight decline in growth rate compared to the end of March [3]. - In April, the incremental social financing was 1.16 trillion yuan, which is 1.22 trillion yuan more than the previous year [3]. - The cumulative social financing increment for the first four months was 16.34 trillion yuan, an increase of 3.61 trillion yuan year-on-year, with government bond net financing being a major support [3]. Group 2: Loan Structure and Trends - In the first four months, new RMB loans totaled 10.06 trillion yuan, remaining stable compared to the same period last year, with April alone contributing 280 billion yuan [3][10]. - Resident loans increased by 518.4 billion yuan, with medium to long-term loans (like mortgages) rising by 760.1 billion yuan, while short-term loans decreased by 241.6 billion yuan [10]. - Corporate loans increased by 9.27 trillion yuan, accounting for 92% of the total loan increment, with a rising proportion of medium to long-term corporate loans [11]. Group 3: Economic Support and Policy Implications - The financial data from the first four months indicates that the growth rates of social financing, M2, and RMB loans continue to exceed the nominal GDP growth rate, reflecting strong financial support for the real economy [13]. - The central bank's counter-cyclical adjustment policies, such as interest rate cuts and structural tools, have facilitated monetary supply expansion, alongside accelerated government bond issuance [15]. - Government bond net financing for the first four months was 4.85 trillion yuan, contributing significantly to social financing growth [16]. Group 4: Interest Rates and Future Expectations - The average interest rate for newly issued corporate loans in April was 3.2%, while the personal housing loan rate was 3.1%, both at historical lows [22]. - Market expectations suggest that the central bank will continue to maintain a loose environment through interest rate cuts and reserve requirement ratio reductions, with a focus on stabilizing growth and promoting reasonable price recovery [23].