Group 1 - The core viewpoint of the article emphasizes that asset allocation is the only free lunch in the investment market, highlighting the importance of strategic investment choices [1] - The FOF market has shown a strong rebound in the first half of 2025, with the number of FOF products reaching 517 and total net assets amounting to 165.67 billion yuan, a growth of 24.4% from the beginning of the year [4][6] - The largest holding type in FOF funds remains the mixed bond FOF, with a total holding size of 77.22 billion yuan, accounting for 46.6% of the total [6] Group 2 - FOF funds are increasingly adopting an index-based approach, with ETFs becoming the core allocation tool, as evidenced by 15 out of the top 20 held funds being ETFs [8] - The most favored product among FOFs is the Gold ETF, held by 227 FOFs, reflecting a strong demand for safe-haven assets [9][12] - The performance of FOFs varies, with stock-type FOFs rising by 23.1% year-to-date, while bond-type FOFs have only increased by 1.5% [6][10] Group 3 - The preference for ETFs among FOFs is driven by market conditions, investor demand, and product characteristics, with a focus on both stability and growth [11] - The popularity of the Hang Seng Technology Index ETF indicates FOFs' optimism towards the Hong Kong technology sector, which is seen as undervalued after significant corrections [18][19] - Short-term bond ETFs and soybean meal ETFs are gaining traction among FOFs, showcasing the managers' unique insights into niche asset allocations [22][28] Group 4 - The short-term bond ETF offers low credit risk and high liquidity, with returns significantly higher than traditional savings rates, reflecting a focus on stability in uncertain environments [24][26] - The soybean meal ETF, as a representative of commodity futures, provides unique risk-return characteristics and is included in FOFs for its inflation-hedging properties [27][28] - Overall, the changes in FOF holdings illustrate the core value and unique appeal of ETF products in asset allocation, with a multi-dimensional approach to risk management and growth opportunities [29]

Group 1 - The core viewpoint is that public REITs have shown an upward trend over the past two years, with the CSI REITs total return index increasing by over 10% as of the end of June this year, indicating a distinct market performance compared to stocks and bonds [1] - Public REITs have experienced a divergence in performance since the beginning of 2023, with assets that have higher dividend certainty attracting more capital and showing greater price increases [1] - The market performance of public REITs is driven by both fundamentals and valuations, with the upward trend primarily influenced by valuation factors due to supply-demand dynamics, regulatory policies, and declining yields on risk-free assets [1] Group 2 - Public REITs are considered a strong asset class for medium to long-term allocation, with a substantial amount of infrastructure real estate assets in China, estimated in the trillions, indicating significant growth potential for the public REITs market [2] - The stable dividend characteristics of public REITs, combined with capital gains and lower risk, align well with the investment needs of capital-seeking funds in a low-interest-rate environment [2] - Insurance capital, characterized by long duration and a focus on stable returns, is increasingly interested in the value of cash flows from core assets that provide stable cash flow [2]