Core Viewpoint - The brokerage sector is expected to benefit from the rising stock market, with potential for continued strength in the future [1] Group 1: Analyst Insights - Xu Chuanbao, Chief Investment Advisor at Jinyuan Securities, believes that the brokerage sector will gain from the stock market's rise and is likely to continue strengthening [1] - Zhang Cuixia, Chief Investment Advisor at Jufeng Investment, notes that the third-quarter earnings of securities firms have shown good growth, which could facilitate a breakthrough above the 2000-point mark [1] - Huang Cendong from Guojin Securities asserts that brokerages are severely undervalued, suggesting that they may continue to support the index's upward movement in the short term [1]

Market Performance - The market opened high on July 28, experienced a short-term drop, and then rebounded in the afternoon, with the Securities ETF leading (560090) rising by 0.76% [1] - The Securities ETF reached a high of 1.344 and a low of 1.310, with a trading volume of 48.75 million and a turnover rate of 2.51% [1] Sector Analysis - The financial sector has shown differentiation this year, with the brokerage sector lagging behind, underperforming the broader market by 2% year-to-date, but since May, the brokerage sector has outperformed the market index by nearly 10% [4] - Recent strong performance in the brokerage sector is attributed to improved market sentiment, thematic catalysts, and deepening capital market reforms [6] Company News - Guotai Junan Asset Management announced the absorption merger with Haitong Asset Management, marking the first merger case of a brokerage asset management subsidiary in the domestic securities industry [3] - Major stocks in the Securities ETF saw significant gains, with Zhongyin Securities rising nearly 7%, Guotai Haitong up over 3%, and Huatai Securities increasing over 2% [1] Investment Outlook - The brokerage sector is expected to benefit from a favorable valuation and a potential increase in return on equity (ROE) due to ongoing capital market reforms [6] - The current market conditions suggest a strong rebound in fundamentals and a solid safety margin in valuations, making the Securities ETF (560090) an attractive investment tool for exposure to the brokerage sector [6]