Core Viewpoint - The Dalian Commodity Exchange is proposing to establish the "Dalian Commodity Exchange Algorithmic Trading Management Measures" and is currently seeking public feedback on this initiative [1] Group 1: Regulatory Framework - The proposed management measures are based on various laws and regulations, including the "Futures and Derivatives Law of the People's Republic of China," "Futures Trading Management Regulations," and "Futures Exchange Management Measures" [1] - The management measures consist of seven chapters, which include general provisions, reporting management, system access management, host custody and seat management, trading monitoring and risk management, supervisory management, and supplementary provisions [1] Group 2: Structure and Content - The total number of articles in the proposed management measures is 40, indicating a comprehensive approach to algorithmic trading regulation [1]

Investment Rating - The report maintains an "Overweight" rating for the non-bank financial sector [1] Core Insights - The non-bank financial sector has shown resilience, with all sub-sectors outperforming the CSI 300 index in recent trading days. The insurance sector rose by 2.07%, multi-financial by 1.45%, and securities by 0.88% [4][9] - The insurance sector is expected to continue increasing allocations to dividend stocks, driven by a recovery in life insurance premiums and the implementation of new accounting standards [21][23] - The securities sector is experiencing a significant increase in trading volume, with a year-on-year rise of 79.76% in daily average trading volume as of June 13, 2025 [15][20] - The multi-financial sector is entering a stable transition period, with trust assets growing but profits declining significantly [30][34] Summary by Sections 1. Recent Performance of Non-Bank Financial Sub-Sectors - All sub-sectors outperformed the CSI 300 index in the last five trading days, with the overall non-bank financial sector rising by 1.28% [4][9] - Year-to-date, the insurance sector has performed the best, with a 3.18% increase, while the securities sector has seen a decline of 7.98% [10] 2. Insights on Sub-Sectors 2.1 Securities - Trading volume has significantly increased, with daily average trading volume reaching 14,783 billion CNY, a 79.76% increase year-on-year [15][20] - The average price-to-book (PB) ratio for the securities industry is estimated at 1.2x for 2025 [20] 2.2 Insurance - Life insurance premiums are recovering, with original premiums for the first four months of 2025 reaching 20,966 billion CNY, a year-on-year increase of 1.8% [24] - The implementation of new accounting standards is expected to enhance the allocation of insurance funds to OCI stocks [23][24] 2.3 Multi-Financial - The trust industry saw its asset scale reach 29.56 trillion CNY in 2024, a year-on-year growth of 23.58%, but profits fell by 45.52% [30][34] - The futures market experienced a decline in trading volume and value in May 2025, with a total transaction volume of 6.79 billion contracts [37][41] 3. Industry Ranking and Key Company Recommendations - The recommended ranking for the industry is insurance > securities > other multi-financial sectors, with key companies including New China Life, China Pacific Insurance, China Life, China Ping An, CITIC Securities, Tonghuashun, and Jiufang Zhitu Holdings [48]

Core Viewpoint - The article discusses the recent public consultation by the China Securities Regulatory Commission (CSRC) on the "Futures Company Classification Evaluation Regulations (Draft for Comments)", which aims to refine the evaluation standards for futures companies and enhance regulatory oversight in the futures market [2][3]. Group 1: Evaluation Regulations Overview - The new draft consists of 44 articles that clarify the scoring standards for futures company classification, optimize the scoring process, and simplify the evaluation procedure [2][3]. - The classification system is based on compliance status, risk management capabilities, market competitiveness, and the ability to serve the real economy, with a scoring system where the baseline score is 100 [3][4]. Group 2: Scoring and Deduction Adjustments - The evaluation uses a scoring system where companies are categorized into five classes (A, B, C, D, E) based on their scores, which are determined through deductions and additions from the baseline score [3][4]. - The deduction criteria have been refined, with specific penalties for non-compliance and risk management failures, including a reduction in points for severe violations [4][5]. Group 3: Additions to Evaluation Criteria - The evaluation criteria now include new indicators for market competitiveness and the ability to serve the real economy, such as "average daily positions of industry clients" and "average daily positions of medium- to long-term fund clients" [5][6]. - The market competitiveness indicators have been expanded to include nine specific metrics, allowing for a more comprehensive assessment of a company's business performance and capital strength [5][6]. Group 4: Incentives and Special Circumstances - The regulations introduce incentives for companies that rank in the top 10% for derivative trading services to real enterprises, with a point system based on their ranking [6]. - Special circumstances that warrant additional points include cooperation with regulatory bodies during risk management and maintaining a clean compliance record over multiple evaluation periods [6].

Core Viewpoint - The China Securities Regulatory Commission (CSRC) has released the "Regulations on the Management of Programmatic Trading in the Futures Market (Trial)" which will take effect on October 9, 2025, aiming to define programmatic and high-frequency trading, ensure fair resource allocation, and maintain market order [1]. Group 1: Definitions and Characteristics - The regulations define programmatic trading as the automated generation or submission of trading instructions via computer programs in futures exchanges. High-frequency trading is characterized by a high frequency of order submissions and cancellations within a short time frame, with specific standards to be set by the futures exchanges [2][7]. Group 2: Fairness and Compliance - Participants in programmatic trading must adhere to relevant laws and regulations, follow the principles of fairness, and not disrupt the security and normal trading order of futures exchanges [3]. - The regulations require that programmatic trading agreements include essential clauses, and both futures companies and clients must report accurate information regarding their trading activities [4]. Group 3: Technical System Requirements - Programmatic traders must use technical systems equipped with effective anomaly monitoring and threshold management functions. Futures companies are responsible for testing the systems of their clients and must not grant management access to clients [5]. Group 4: Seat Management and Resource Allocation - Futures exchanges are required to establish a reporting system for mainframe hosting and a seat management system, ensuring fair allocation of trading seats. Futures companies must manage hosting resources reasonably and are prohibited from providing services to clients with frequent abnormal trading behaviors [6][8]. Group 5: Risk Management and Monitoring - The regulations outline six key requirements for risk management and monitoring, including compliance responsibilities for programmatic traders and futures companies, real-time monitoring of trading activities, and specific focus on high-frequency trading behaviors [9][10].

Core Points - The China Securities Regulatory Commission (CSRC) has announced the implementation of the "Regulations on the Management of Program Trading in the Futures Market (Trial)" effective from October 9, 2025 [1] - Futures exchanges will conduct real-time monitoring of program trading to identify and monitor abnormal trading behaviors that may affect the security and normal trading order of the futures market [1] Summary by Categories Regulatory Framework - The new regulations will focus on monitoring specific abnormal trading behaviors, including high frequency of orders and cancellations within a short time frame, or reaching certain thresholds for daily orders and cancellations [1] - The standards for identifying abnormal trading behaviors will be established by the futures exchanges [1] Monitoring Criteria - Key monitoring criteria include: - A significant number of orders and cancellations within a short period or daily thresholds [1] - The ratio of orders to cancellations reaching specific standards [1] - Large, consecutive, or concentrated orders that result in significant price or volume anomalies [1] - Other situations deemed necessary for monitoring by the futures exchanges will also be included [1]

Core Viewpoint - The China Securities Regulatory Commission (CSRC) has announced the implementation of the "Regulations on the Management of Program Trading in the Futures Market (Trial)" effective from October 9, 2025, which aims to enhance the oversight of program trading activities in the futures market [1] Group 1: Regulatory Requirements - Futures companies are required to periodically or irregularly verify the information reported by program trading clients and urge clients to correct any discrepancies found [1] - If clients fail to correct the reported issues after being urged, futures companies must refuse to accept their opening orders according to the regulations of the futures exchange and the entrusted agreement [1] Group 2: Exchange Oversight - Futures exchanges are also mandated to conduct regular or irregular checks on the information reported by program traders, focusing on high-frequency traders [1] - The verification will include checking the types of trading strategies reported, the maximum cancellation frequency, and the highest number of cancellations reported in a single day [1] - If discrepancies are found in the reports, self-regulatory measures will be taken according to business rules [1]

Core Viewpoint - The China Securities Regulatory Commission (CSRC) has announced the implementation of the "Regulations on the Management of Programmatic Trading in the Futures Market (Trial)" effective from October 9, 2025, requiring clients to report relevant information before engaging in programmatic trading [1] Group 1 - Clients of futures companies must report relevant information to the futures company before engaging in programmatic trading [1] - Futures companies are required to verify whether the reported information complies with regulations and exchange requirements [1] - Upon successful verification, futures companies must report to the relevant futures exchange and confirm with clients after receiving feedback from the exchange [1]

Group 1 - The core viewpoint of the article is the announcement by the China Securities Regulatory Commission regarding the implementation of the "Regulations on the Management of Program Trading in the Futures Market (Trial)" which will take effect on October 9, 2025 [1] Group 2 - The new regulations aim to enhance the management and supervision of program trading in the futures market [1] - The implementation date indicates a significant timeline for market participants to prepare for compliance with the new rules [1] - The regulations are expected to impact trading strategies and operational practices within the futures market [1]