Overall Summary - **Report Period**: August 11 - August 17, 2025 [1][11] - **Investment Rating**: Not provided - **Core View**: The issuance guidance rates from the Dealer Association showed a differentiated trend, with high - grade rates rising and medium - low - grade rates falling. Credit bond issuance volume decreased, and net financing turned negative. Secondary - market trading volume declined, yields rose, and credit spreads showed mixed trends. Currently, the allocation cost - effectiveness is low. In the long run, yields are in a downward channel, but due to high prices, the allocation pace can be slowed. For relative returns, credit - sinking and duration - stretching are not cost - effective, and high - grade short - term bonds can be considered for defense [1][60] 1. Primary Market 1.1 Issuance and Maturity Scale - Total credit bonds issued 350 with an amount of 260.56 billion yuan, a 29.04% decrease from the previous period. Net financing was - 12.116 billion yuan, a decrease of 203.684 billion yuan [11] - Enterprise bonds had zero issuance with a net financing of - 16.575 billion yuan, a decrease of 11.059 billion yuan [11] - Corporate bonds issued 126 with an amount of 96.654 billion yuan, an 8.73% increase; net financing was 43.48 billion yuan, an increase of 10.703 billion yuan [11] - Medium - term notes issued 116 with an amount of 92.57 billion yuan, a 43.70% decrease; net financing was 20.422 billion yuan, a decrease of 92.531 billion yuan [11] - Short - term financing bills issued 91 with an amount of 61.219 billion yuan, a 39.28% decrease; net financing was - 52.858 billion yuan, a decrease of 104.478 billion yuan [11] - Private placement notes issued 17 with an amount of 9.613 billion yuan, a 22.10% decrease; net financing was - 6.585 billion yuan, a decrease of 6.319 billion yuan [11] 1.2 Issuance Interest Rates - The issuance guidance rates from the Dealer Association showed a high - grade up and medium - low - grade down trend, with a change range of - 3 BP to 2 BP [1][15] - For 1 - year terms, the rate change was between - 1 BP and 2 BP; for 3 - year terms, between - 2 BP and 2 BP; for 5 - year terms, between - 3 BP and 2 BP; for 7 - year terms, between - 3 BP and 2 BP [15] - For key AAA and AAA grades, the rate change was between 0 BP and 2 BP; for AA + grade, between - 1 BP and 1 BP; for AA grade, between - 3 BP and - 1 BP; for AA - grade, between - 3 BP and - 2 BP [15] 2. Secondary Market 2.1 Market Trading Volume - Total credit - bond trading volume was 775.373 billion yuan, a 7.29% decrease from the previous period [19] - Enterprise bonds, corporate bonds, and medium - term notes' trading volumes decreased, while short - term financing bills and private placement notes' trading volumes increased [1][19] 2.2 Credit Spreads - For medium - and short - term notes, most credit spreads narrowed, especially for 5 - year terms, except for the 3 - year AAA - grade spread which widened [22][25] - For enterprise bonds, most credit spreads narrowed, especially for 5 - year terms, except for the 3 - year AA + grade which remained unchanged [29] - For urban investment bonds, credit spreads showed a differentiated trend. 1 - year and 5 - year spreads generally narrowed, while 3 - year and 7 - year spreads generally widened [1][39] 2.3 Term Spreads and Rating Spreads - For AA + medium - and short - term notes, 3Y - 1Y, 5Y - 3Y, and 7Y - 3Y term spreads widened. Rating spreads for 3 - year medium - and short - term notes generally narrowed [47] - For AA + enterprise bonds, 3Y - 1Y and 7Y - 3Y term spreads widened, 5Y - 3Y narrowed. Rating spreads for 3 - year enterprise bonds had mixed trends [52] - For AA + urban investment bonds, 3Y - 1Y and 7Y - 3Y term spreads widened, 5Y - 3Y narrowed. Rating spreads for 3 - year urban investment bonds had mixed trends [53] 3. Credit Rating Adjustment and Default Bond Statistics 3.1 Credit Rating Adjustment - No company rating (including outlook) adjustments during the period [58] 3.2 Default and Extension Bonds - No credit - bond defaults or extensions during the period [59] 4. Investment Views Credit Bonds - From an absolute - return perspective, supply shortages and strong allocation demand support credit bonds. Although fluctuations are inevitable, yields are in a downward channel in the long run. Due to high prices, the allocation pace can be slowed, and bonds can be added during adjustments. Pay attention to interest - rate bond trends and coupon values. Consider bonds of relevant entities underperforming in the Sci - tech Innovation Bond ETF [1][60] - From a relative - return perspective, since rating spreads are at historical lows, credit - sinking and duration - stretching are not cost - effective. High - grade short - term bonds can be used for defense [1][60] Real Estate Bonds - With the real - estate market gradually stabilizing, high - risk - appetite funds can consider early layout, focusing on the balance between risk and return. Allocate to central and state - owned enterprises with stable historical valuations and high - quality private - enterprise bonds with strong guarantees. Long - term allocation can increase returns, and trading opportunities from undervalued real - estate bonds can be explored [2][62] Urban Investment Bonds - In the context of stable growth and prevention of systemic risks, the probability of urban investment bond defaults is low. They can still be a key allocation for credit bonds. The short - term credit risk is low, and the current strategy can be positive. However, during the process of local financing platform clearance and transformation, some urban investment bonds may face valuation fluctuations. Future opportunities in the reform and transformation of "entity - type" financing platforms can be monitored [2][62]

1. Report Industry Investment Rating - No relevant content provided. 2. Core View of the Report - In July 2025, the issuance scale of credit bonds decreased month - on - month, and the credit spreads of both urban investment bonds and industrial bonds narrowed slightly. The trading volume of urban investment bonds decreased both month - on - month and year - on - year, while that of industrial bonds increased [1][2]. 3. Summary According to the Directory 3.1 Credit Bond Issuance and Maturity 3.1.1 Credit Bond Issuance - As of the end of July 2025, the balance of outstanding credit bonds in China was 30.3 trillion yuan. From July 1 to July 31, 2025, the issuance of credit bonds was 1217.195 billion yuan, a month - on - month decrease of 7.53%, with a total repayment of 879.806 billion yuan and a net financing of 337.389 billion yuan [9]. - Urban investment bonds: As of the end of July 2025, the balance of outstanding urban investment bonds was 15.32 trillion yuan. In July 2025, the issuance was 419.407 billion yuan, a month - on - month decrease of 12.56% and a year - on - year decrease of 15.65%, with a net financing of 170.1 million yuan. Jiangsu had the highest issuance, and Qinghai and Liaoning had no issuance. Shanghai, Guangdong, and Hebei had significant issuance increases, while Hunan, Jiangsu, Shandong, and Anhui had significant decreases. Guangdong and Shanghai had large net financing, while Jiangsu and Hunan had negative net financing [10][13][15]. - Industrial bonds: As of the end of July 2025, the balance of outstanding industrial bonds was 14.98 trillion yuan. In July 2025, the issuance was 797.789 billion yuan, a month - on - month decrease of 4.54% and a year - on - year increase of 5.38%, with a net financing of 3356.88 billion yuan. Public utilities had the highest issuance and net financing [19][23]. 3.1.2 Credit Bond Maturity - Urban investment bonds: From August to December 2025, Jiangsu, Shandong, Zhejiang, and Sichuan had large maturity scales [27]. - Industrial bonds: From August to December 2025, public utilities, non - banking finance, transportation, real estate, and building decoration had large maturity scales [31]. 3.2 Credit Bond Trading and Spreads 3.2.1 Credit Bond Trading - Urban investment bonds: In July 2025, the trading volume was 1010.012 billion yuan, decreasing both month - on - month and year - on - year, with a turnover rate of 6.59% [34]. - Industrial bonds: In July 2025, the trading volume was 1699.176 billion yuan, increasing both month - on - month and year - on - year, with a turnover rate of 11.34% [36]. 3.2.2 Credit Bond Spreads - Urban investment bonds: In July 2025, the credit spreads of urban investment bonds of all levels narrowed. For AAA - rated urban investment bonds, the average spread was 45bp, narrowing by 4bp; for AA + - rated, it was 55bp, narrowing by 3bp; for AA - rated, it was 69bp, narrowing by 2bp [36]. - Industrial bonds: In July 2025, the credit spreads of industrial bonds of all levels narrowed. For AAA - rated industrial bonds, the average spread was 45bp, narrowing by 4bp; for AA + - rated, it was 67bp, narrowing by 5bp; for AA - rated, it was 70bp, narrowing by 5bp [43][44].

Report Summary 1. Report Industry Investment Rating No industry investment rating information is provided in the report. 2. Core Viewpoints The report focuses on the observation of credit bonds in April 2025, including the issuance, maturity, trading volume, and credit spreads of urban investment bonds and industrial bonds. Overall, the issuance scale of urban investment bonds decreased, while that of industrial bonds increased. The trading volumes of both urban investment bonds and industrial bonds declined, and the credit spreads of both narrowed [1][2]. 3. Summary by Directory 3.1 Credit Bond Issuance and Maturity - **Credit Bond Issuance**: As of the end of April 2025, the outstanding balance of credit bonds in China was 29.62 trillion yuan. In April 2025, the issuance of credit bonds was 146.1314 billion yuan, a month - on - month increase of 20.75%, with a net financing of 23.2001 billion yuan [1][9]. - **Urban Investment Bonds**: The outstanding balance of urban investment bonds was 15.42 trillion yuan. In April 2025, the issuance was 54.938 billion yuan, a month - on - month decrease of 11.83% and a year - on - year decrease of 8.36%, with a net financing of - 7.1794 billion yuan. Regionally, Jiangsu had the highest issuance. In terms of ratings, AA + and AAA - rated bonds accounted for a large proportion [1][10]. - **Industrial Bonds**: The outstanding balance of industrial bonds was 14.21 trillion yuan. In April 2025, the issuance was 91.1934 billion yuan, a month - on - month increase of 55.33% and a year - on - year increase of 12.69%, with a net financing of 30.3644 billion yuan. By industry, public utilities had the highest issuance. In terms of ratings, AAA - rated bonds accounted for 88.67% [1][25]. - **Credit Bond Maturity**: - **Urban Investment Bonds**: From May to December 2025, Jiangsu, Shandong, and Zhejiang had relatively large maturity scales, all exceeding 300 billion yuan [33]. - **Industrial Bonds**: From May to December 2025, public utilities, non - banking finance, real estate, transportation, and building decoration had relatively large maturity scales, all exceeding 300 billion yuan [35]. 3.2 Credit Bond Trading and Spreads - **Credit Bond Trading**: - **Urban Investment Bonds**: In April 2025, the trading volume was 99.5943 billion yuan, showing both month - on - month and year - on - year declines. The turnover rate was 6.46% [2][38]. - **Industrial Bonds**: In April 2025, the trading volume was 138.3813 billion yuan, showing both month - on - month and year - on - year declines. The turnover rate was 9.74% [2][41]. - **Credit Bond Spreads**: - **Urban Investment Bonds**: In April 2025, the credit spreads of urban investment bonds of all levels narrowed compared to the previous month. Regionally, the spreads of different regions and ratings showed different characteristics [2][43]. - **Industrial Bonds**: In April 2025, the credit spreads of industrial bonds of all levels narrowed compared to the previous month. By industry, the spreads of different industries and ratings showed different trends [2][46].