Core Viewpoint - The reallocation of a large amount of maturing bank deposits has garnered significant attention this year, with investors focusing on whether these deposits will remain in banks, migrate to low-risk asset management products, or move to equity markets [1][8]. Interest Rate Review - The central bank's monetary policy at the beginning of the year indicated a supportive stance, emphasizing that there is still room for rate cuts. Short-term interest rates have shown strength, while concerns about the supply of long-term special government bonds have led to fluctuations in long-term rates. The yield curve has steepened significantly, with the 30Y-10Y yield spread reaching a new high for 2023 [1][8]. Deposit Growth Trend Analysis - Since the second half of 2025, the growth rate of bank deposits has gradually declined, with a simultaneous contraction in the loan-to-deposit growth rate difference. The corporate sector has seen a notable decrease in fixed deposit growth and preference, while the household sector, despite a year-on-year decline, still maintains a high growth rate, indicating a "passive savings" behavior among residents [2][9]. Destination of Maturing Household Deposits: Savings Remain Dominant - Factors such as financial knowledge, income expectations, and perceptions of the macroeconomic environment have led to a cautious increase in residents' risk appetite. Most households continue to prioritize bank deposits, although there is a structural shift from long-term to short-term deposits and from large banks to smaller banks [3][9]. Destination of Maturing Household Deposits: Shift to Low-Risk Asset Management - Asset management products, particularly bank wealth management and insurance, are increasingly viewed as part of "broad savings." Following regulatory changes, the growth rate of broad savings has significantly outpaced GDP growth. The internal structure of broad savings has shifted, with bank wealth management and insurance products growing faster than traditional deposits [4][9]. Destination of Maturing Household Deposits: Limited Flow into Equity Markets - A small portion of risk-tolerant savings may flow into equity markets and products with equity-like features in pursuit of higher returns, but the short-term proportion is expected to remain low. The long-term sustainability of this trend is still uncertain [5][10]. Market Outlook - It is anticipated that over 40 trillion yuan of long-term deposits may become potential outflow funds, with most likely remaining within banks. The structural shift indicates a transition towards short-term deposits and smaller banks, with remaining funds primarily directed towards bank wealth management and insurance products, and a small portion towards equity markets. Growth in bank wealth management and insurance is expected to remain robust in 2026, but asset allocation strategies will be crucial in a low-interest-rate environment [6][10].