Core Viewpoint - The emphasis on the importance of the real economy and financial services highlights the need for risk management companies to adapt and innovate in their service offerings to better support the real economy [1][2]. Group 1: Financial Infrastructure and Market Opportunities - The Central Committee's proposal for the 15th Five-Year Plan includes the steady development of futures, derivatives, and asset securitization, which presents new opportunities for the high-level development of the futures and derivatives market [1]. - The recent training session for executives of futures risk management companies focused on compliance, risk control, and governance capabilities, aiming to integrate compliance concepts into strategic decision-making and business development [1][5]. Group 2: Evolving Service Demands - The methods by which enterprises engage with the futures market have evolved, leading to increased demands for risk management companies to provide diverse and innovative services [2]. - The current workforce in futures risk management companies has grown to nearly 4,000, indicating the sector's importance in serving the real economy [2]. Group 3: Service Capability Enhancement - To enhance service capabilities, futures risk management companies must shift from passive compliance to proactive risk management and develop a systematic governance approach [4]. - Companies should focus on attracting and retaining talent while creating a clear strategic vision and profitable business models [4]. Group 4: Compliance and Risk Management - Compliance is essential for the sustainable development of futures risk management companies, necessitating a comprehensive risk management framework that includes organizational structure, management systems, and quantifiable risk indicators [5]. - The training concluded with discussions on improving risk control capabilities for industry enterprises and sharing best practices for serving small and medium-sized enterprises and national strategies [5].

Core Insights - In 2024, Guotai Junan Risk Management successfully addressed cross-regional supply chain challenges for Weiteou New Materials through an "invisible transfer" strategy, ensuring production continuity and mutual benefits for both parties [1] Group 1: Company Operations - Weiteou New Materials, a leading enterprise in the electronic chemicals industry in Shenzhen, specializes in the R&D, production, and sales of microelectronic soldering materials [1] - The company required the disposal of 22 tons of warehouse receipts located in East China, prompting Guotai Junan Risk Management to form a specialized team to design a warehouse receipt exchange solution [1] - The warehouse receipt exchange mechanism aims to optimize resource allocation, enhance supply chain efficiency, reduce costs, and manage risks for enterprises [1] Group 2: Transaction Details - After analyzing Weiteou New Materials' needs, Guotai Junan Risk Management identified 200 tons of "Yunheng" brand tin ingots from Yunnan as a suitable match, leading to the signing of two purchase and sales contracts [2] - The exchange allowed 22 tons of tin ingots to be "moved" from East China to Shenzhen without actual logistics, optimizing inventory at a low cost and high efficiency for Weiteou New Materials [2] - Guotai Junan Risk Management was able to exchange the "Yunheng" tin ingots, which had a premium of 300 yuan/ton, for "YT" brand tin ingots with a premium of 800 yuan/ton, achieving a win-win outcome [2] Group 3: Market Context and Future Implications - The increasing participation of industrial clients in futures delivery has led to some mismatches in warehouse receipt resources, highlighting the ongoing demand for resource optimization in the market [3] - Guotai Junan Risk Management's expertise in futures and spot business enables effective assistance for terminal enterprises in optimizing warehouse receipts [3] - The successful implementation of this project serves as a strong support for promoting the warehouse receipt exchange model and aligns with the newly released rules by the China Futures Association, which recognize exchange trade as a solution for managing price volatility risks and stabilizing operations [3]

Group 1 - The Secretary General of the Guangdong Stainless Steel Materials and Products Association, Huang Gengyan, and Assistant President Chen Jiayong visited the member company Guangzhou Futures Co., Ltd. Foshan Branch, where they were warmly received by General Manager Lin Xi [2] - General Manager Lin Xi provided suggestions on risk management strategies for production and trading enterprises in the stainless steel sector, emphasizing the need for companies to choose suitable risk management methods based on their operational needs and development plans [2] - The company aims to offer personalized services tailored to the actual operations of enterprises, helping them stabilize their business [2] Group 2 - Guangzhou Futures Co., Ltd. Foshan Branch has been a member of the Guangdong Stainless Steel Materials and Products Association since its establishment on November 1, 2011, and is located at 57 Jihua 5th Road, Zhumiao Street, Chancheng District, Foshan City [4] - The company has received multiple awards since its inception and adheres to a customer demand-oriented approach, maintaining the philosophy of "industry-based, innovation-driven" [4] - Guangzhou Futures Foshan Branch is committed to providing high-quality services to its clients with a dedication to "contribution, persistence, and commitment" [4]

Report Information - Report Name: Nanhua Soybean No.1 Industry Risk Management Daily Report - Date: October 29, 2025 - Analyst: Bian Shuyang (Investment Consulting License No.: Z0012647) - Research Assistant: Kang Quangui (Qualification Certificate No.: F03148699) - Investment Consulting Business Qualification: CSRC License [2011] No. 1290 [1] Industry Investment Rating - No industry investment rating is provided in the report. Core Viewpoints - New - season soybean listing is hindered by rainfall in the southern产区, leading to a supply shortage of high - protein edible soybeans, which supports the price to rise seasonally. Meanwhile, restrained selling willingness at the grass - roots level and rigid bidirectional grain return acquisitions ease price pressure. Strong acquisition willingness in the spot market and the limited market scale lead to a fundamental shift [3]. - The selling pressure of soybeans is gradually decreasing, and the downstream has a strong willingness to acquire high - quality soybeans. The uninitiated state - reserve acquisition restricts price decline, and if it starts and purchases at a reasonable price, it may further strengthen the price [3]. - The southern产区's listing progress is gradually recovering. The resumption of US soybean imports after the progress of Sino - US trade negotiations (with uncertain time) and the possible decline in acquisition intensity after the execution of grain return orders are negative factors for the market [6]. Summary by Related Content Price Forecast - The price range forecast for the Soybean No.1 contract 11 in the current month is 3900 - 4100, with a current 20 - day rolling volatility of 11.02% and a historical percentile of 25.1% [2] Risk Strategies | Behavior Orientation | Scenario Analysis | Spot Exposure | Strategy Recommendation | Hedging Tool | Buying/Selling Direction | Hedging Ratio | Suggested Entry Range | | --- | --- | --- | --- | --- | --- | --- | --- | | Inventory Management | Planting subjects have a large demand for selling new soybeans harvested in autumn, but there is significant short - term selling pressure, which weighs on prices | Long | Take advantage of the futures price rebound to appropriately lock in planting profits and short - sell | A2601 | Short | 30% | Above 4100 | | Inventory Management | During the concentrated listing period, the bargaining power of sellers weakens | Long | Sell call options to increase the grain selling price | A2511 - C - 4050 | Sell | 30% | 30 - 50 (Hold) | | Procurement Management | Concerned about rising raw material prices and increased procurement costs | Short | Mainly wait to purchase spot goods in the medium term and focus on long - term procurement management | A2603, A2605 | Long | - | Wait for the price to bottom out in the fourth quarter | [2] Spot Price and Basis - On October 28, 2025, the spot prices of domestic third - grade soybeans in Harbin, Nenjiang, Jiamusi, and Changchun were 3900, 3860, 3940, and 3970 respectively, with corresponding basis values of - 215, - 217, - 137, and - 107 [4] Futures Closing Price | Contract | October 27, 2025 | October 28, 2025 | Daily Change | Change Rate | | --- | --- | --- | --- | --- | | Soybean No.1 11 | 4054 | 4100 | 46 | 1.13% | | Soybean No.1 01 | 4077 | 4115 | 38 | 0.93% | | Soybean No.1 03 | 4085 | 4123 | 38 | 0.93% | | Soybean No.1 05 | 4121 | 4155 | 34 | 0.83% | | Soybean No.1 07 | 4117 | 4155 | 38 | 0.92% | | Soybean No.1 09 | 4121 | 4158 | 37 | 0.90% | [4][7]

Report Overview - The report is the "South China Nickel & Stainless Steel Industry Risk Management Daily" dated September 24, 2025, by the South China New Energy & Precious Metals Research Team [1] Industry Investment Rating - Not provided in the report Core Viewpoints - The nickel and stainless steel markets are currently in a state of internal oscillation, with no significant changes in the fundamentals. Concerns about the stability of ore supply are increasing, while the cobalt price has upward potential, driving up the prices of MHP and nickel salts. Nickel iron prices remain firm, and the stainless steel market shows a wait - and - see attitude before the holiday [3] Key Points by Category Price and Volatility Forecast - The price range forecast for Shanghai nickel is 118,000 - 126,000 yuan/ton, with a current 20 - day rolling volatility of 15.17% and a historical percentile of 3.2%. The price range forecast for stainless steel is 12,500 - 13,100 yuan/ton, with a current 20 - day rolling volatility of 6.88% and a historical percentile of 0.1% [2] Risk Management Strategies Nickel - **Inventory Management**: When facing the risk of product price decline and inventory devaluation, sell Shanghai nickel futures (NI main contract) at a 60% hedging ratio and sell call options at a 50% hedging ratio [2] - **Procurement Management**: For future production procurement needs, buy Shanghai nickel forward contracts (far - month NI contracts) according to the production plan, sell put options, and buy out - of - the - money call options, with the hedging ratio based on the procurement plan [2] Stainless Steel - **Inventory Management**: When facing the risk of product price decline and inventory devaluation, sell stainless steel futures (SS main contract) at a 60% hedging ratio and sell call options at a 50% hedging ratio [3] - **Procurement Management**: For future production procurement needs, buy stainless steel forward contracts (far - month SS contracts) according to the production plan, sell put options, and buy out - of - the - money call options, with the hedging ratio based on the procurement plan [3] Market Situation Analysis Core Contradictions - In the nickel market, the Indonesian energy department's sanctions on mining companies have increased concerns about the stability of ore supply. In the new energy sector, the expected extension of the cobalt export ban in Congo may drive up the prices of MHP and nickel salts. Nickel iron prices are firm, and the stainless steel market shows a wait - and - see attitude [3] Positive Factors - Indonesia's APNI plans to revise the HPM formula, shorten the nickel ore quota license period, and the stainless steel has been destocking for several weeks. Also, the Indonesian forestry working group has taken over part of the nickel mining area [5] Negative Factors - High pure nickel inventory, Sino - US tariff disturbances, uncertainties in EU stainless steel import tariffs, the implementation of South Korea's anti - dumping duty on Chinese stainless steel plates, weak stainless steel spot transactions [5] Market Data Nickel Disk - The latest price of Shanghai nickel main contract is 121,450 yuan/ton, up 1% from the previous day. The trading volume increased by 103.70% to 107,755 lots, and the open interest increased by 125.11% to 85,526 lots [5] Stainless Steel Disk - The latest price of the stainless steel main contract is 12,895 yuan/ton, with little change. The trading volume decreased by 12.00% to 122,330 lots, and the open interest decreased by 5.80% to 116,704 lots [5] Inventory Data - Domestic nickel social inventory is 41,484 tons, an increase of 429 tons; LME nickel inventory is 230,586 tons, an increase of 132 tons; stainless steel social inventory is 897,200 tons, a decrease of 5,400 tons; nickel pig iron inventory is 28,652 tons, a decrease of 614.5 tons [6] Industry News - CATL and Antam are promoting the construction of a nickel integrated smelter [7]

Core Viewpoint - A profound transformation is occurring in Henan, focusing on the construction of a modern industrial system, where companies like Tongda Cable Co., Ltd. are leveraging the futures market to manage risks and seize opportunities amid commodity price fluctuations [2][3]. Company Overview - Tongda Cable, founded in 1987 and listed in 2011, has been a leader in the cable industry for nearly 40 years, specializing in the production and sales of cables, precision processing of aircraft components, and aluminum-based composite materials [3]. - The company has an annual production capacity of over 100,000 tons for ultra-high voltage cables and 50,000 kilometers for power and high-end cables, contributing to major projects like the 1000kV transmission line [3]. Challenges Faced - The company faces significant challenges due to raw material costs, with electrolytic aluminum and cathode copper accounting for over 70% of production costs [4]. - Price volatility of these metals, influenced by supply-demand dynamics and macroeconomic factors, has led to substantial risks, particularly when contracts are won based on current prices but delivered months later [4]. Risk Management Strategy - Since 2007, Tongda Cable has utilized futures tools, starting with aluminum and later expanding to copper, to hedge against price fluctuations [6]. - The company has developed a comprehensive risk management framework, including a specialized internal control system, a professional team, and strict risk management protocols [8]. Recent Developments - In response to rising aluminum prices in late 2024, the company quickly implemented a hedging strategy by purchasing call options, resulting in a profit of 44,440 yuan, effectively mitigating the impact of rising raw material costs [7]. - Tongda Cable has been recognized as a best practice case for risk management in futures by the China Listed Companies Association and has been approved as a service base for integrating finance and industry [6][11]. Industry Collaboration - The company emphasizes collaboration within the supply chain, moving from a focus on price to technology and service, enhancing customer engagement from the design phase of projects [10]. - Tongda Cable is also establishing a strategic supplier evaluation system to strengthen partnerships and improve communication regarding hedging tools and market analysis [11]. Conclusion - Tongda Cable's experience exemplifies how companies in Henan are effectively utilizing futures and derivative tools to manage price risks, stabilize operations, and achieve high-quality development in line with national industrial goals [11].

Group 1 - The training session aims to enhance risk management capabilities of agricultural enterprises in Yinchuan through the use of futures and derivatives [1][2] - The agricultural industry in Yinchuan is a key pillar for local economic development, facing increased operational pressures due to international commodity price fluctuations and extreme weather [2][3] - Futures markets serve as a crucial tool for price discovery, risk management, and resource allocation, helping agricultural producers stabilize costs and revenues [2][3] Group 2 - The Dalian Commodity Exchange (DCE) has been actively collaborating with local governments and financial institutions, serving over 1.8 million farmers through various risk management programs [3][5] - The training focused on core agricultural products like soybean meal and corn, providing practical applications of risk management tools [3][4] - Experts emphasized the importance of avoiding misconceptions about hedging and encouraged businesses to develop strategies based on industry needs [4][5] Group 3 - The training included both theoretical knowledge and practical case studies, fostering interaction between participants and instructors [5] - Companies expressed intentions to explore new models combining futures pricing with contract farming to enhance collaboration across the supply chain [5][6] - Future initiatives will focus on deepening services for local enterprises to leverage futures tools for risk management and competitiveness [5]

Core Viewpoint - The training session aims to enhance the risk management capabilities of agricultural enterprises in Yinchuan through the use of futures and derivatives, thereby promoting the high-quality development of the agricultural and livestock industry in the region [1][2]. Group 1: Industry Context - Yinchuan is a significant agricultural production base in Northwest China, with the agricultural and livestock industry being a key pillar for economic growth [2]. - Recent fluctuations in international commodity prices and extreme weather have increased the price volatility of agricultural products, putting pressure on agricultural enterprises [2]. Group 2: Importance of Futures Market - The futures market serves as a crucial tool for price discovery, risk management, and resource allocation, which is essential for stabilizing production expectations and enhancing industry resilience [2][3]. - Over 70% of soybean meal and palm oil, and 40% of soybean oil spot trades use DCE futures prices as the pricing benchmark [3]. Group 3: Training Content and Objectives - The training focused on core agricultural products such as soybean meal and corn, providing insights into futures contract rules and practical case studies to help enterprises apply risk management tools effectively [3][4]. - The course design emphasized practical effectiveness, combining foundational knowledge of the futures market with numerous real-world case studies [5]. Group 4: Practical Applications and Strategies - Experts highlighted the need for enterprises to move away from traditional speculative trading methods and adopt refined risk management strategies using basis pricing and options [4]. - The current supply-demand balance for corn is tight, with a projected production of 295 million tons in 2024, necessitating the use of futures tools for stable operations [4]. Group 5: Future Initiatives - The DCE plans to deepen cooperation with local governments and financial institutions to enhance risk management capabilities among Ningxia enterprises [5]. - Future activities will focus on building cross-regional cooperation platforms to promote Ningxia's agricultural products in national and international markets [5].

Report Title - Nickel & Stainless Steel: Short-term may continue to fluctuate. August 7 Risk Management Daily Report [1] Report Industry Investment Rating - Not provided Core View - The intraday trend of Shanghai nickel was volatile with no obvious logical changes in the fundamentals. The bottom support of nickel ore is limited, the production and shipment of nickel ore in the Philippines are still at a high level, and there is no obvious adjustment in the short-term premium in Indonesia. The price of ferronickel continued to strongly correct during the day, with a strong willingness to support the price on the supply side and a generally bullish sentiment among traders recently, but the actual acceptance of steel mills remains to be seen. The salt plants in the new energy chain have had some support recently, with an increase in the demand of some downstream precursor plants and a certain increase in transactions. Stainless steel once again reached the 13,000 mark during the day, but the spot market followed the increase limitedly, and downstream buyers still hold a wait-and-see attitude towards high-priced resources. The expectation of strong supply and weak demand in August continues. Macroscopically, the subsequent trend of the US dollar index can be monitored [5]. Content Summary by Related Catalogs Price and Volatility Forecast - Shanghai nickel price range forecast: 118,000 - 126,000 yuan/ton, current volatility (20-day rolling) is 15.17%, and the historical percentile of current volatility is 3.2% [3] - Stainless steel price range forecast: 12,500 - 13,100 yuan/ton, current volatility (20-day rolling) is 9.27%, and the historical percentile of current volatility is 1.8% [3] Risk Management Strategies Shanghai Nickel - **Inventory management**: When the product sales price falls and there is a risk of inventory impairment, sell Shanghai nickel futures according to the inventory level to lock in profits and hedge against the risk of spot price decline (sell 60% of the NI main contract); sell call options (sell 50% of over - the - counter/on - exchange options) [3] - **Procurement management**: When the company has future production and procurement needs and is worried about the rise in raw material prices, buy Shanghai nickel forward contracts according to the production plan to lock in production costs on the futures market; sell put options and buy out - of - the - money call options according to the procurement plan [3] Stainless Steel - **Inventory management**: Similar to Shanghai nickel, sell stainless steel futures according to the inventory level to lock in profits and hedge against the risk of spot price decline (sell 60% of the SS main contract); sell call options (sell 50% of over - the - counter/on - exchange options) [4] - **Procurement management**: Buy stainless steel forward contracts according to the production plan to lock in production costs on the futures market; sell put options and buy out - of - the money call options according to the procurement plan [4] Core Contradictions - The intraday trend of Shanghai nickel was volatile with no obvious logical changes in the fundamentals. The bottom support of nickel ore is limited, the production and shipment of nickel ore in the Philippines are still at a high level, and there is no obvious adjustment in the short - term premium in Indonesia. The price of ferronickel continued to strongly correct during the day, with a strong willingness to support the price on the supply side and a generally bullish sentiment among traders recently, but the actual acceptance of steel mills remains to be seen. The salt plants in the new energy chain have had some support recently, with an increase in the demand of some downstream precursor plants and a certain increase in transactions. Stainless steel once again reached the 13,000 mark during the day, but the spot market followed the increase limitedly, and downstream buyers still hold a wait - and - see attitude towards high - priced resources. The expectation of strong supply and weak demand in August continues. Macroscopically, the subsequent trend of the US dollar index can be monitored [5] 利多 and利空 Factors 利多 Factors - Indonesia's APNI plans to revise the HPM formula and add elements such as iron and cobalt - Indonesia shortens the nickel ore quota permit period from three years to one year - The construction of the Yarlung Zangbo River Hydropower Station may increase the demand for stainless steel - Ferronickel transactions are constantly warming up [7] 利空 Factors - Stainless steel enters the traditional off - season of demand, and inventory reduction is slow - The inventory of pure nickel is high - The seasonal inventory of nickel ore increases, and the bottom support is loosened - Sino - US tariff disturbances still exist [7] Market Data Nickel - **Futures prices**: The latest price of Shanghai nickel main contract is 121,850 yuan/ton, with a month - on - month increase of 780 yuan (1%); the latest price of LME nickel 3M is 15,130 US dollars/ton, with a month - on - month increase of 75 US dollars (0.08%) [7] - **Trading volume and open interest**: The trading volume is 96,611 lots, with a month - on - month increase of 8,771 lots (9.99%); the open interest is 81,103 lots, with a month - on - month decrease of 4,949 lots (- 5.75%) [7] - **Warehouse receipts**: The number of warehouse receipts is 20,687 tons, with a month - on - month decrease of 102 tons (- 0.49%) [7] - **Basis of main contract**: The basis of the main contract is - 1,040 yuan/ton, with a month - on - month increase of 170 yuan (19.5%) [7] Stainless Steel - **Futures prices**: The latest price of the stainless steel main contract is 13,000 yuan/ton, with a month - on - month increase of 65 yuan (1%) [8] - **Trading volume and open interest**: The trading volume is 85,499 lots, with a month - on - month increase of 3,480 lots (4.24%); the open interest is 81,584 lots, with a month - on - month decrease of 2,462 lots (- 2.93%) [8] - **Warehouse receipts**: The number of warehouse receipts is 103,226 tons, with a month - on - month increase of 423 tons (0.41%) [8] - **Basis of main contract**: The basis of the main contract is 335 yuan/ton, with a month - on - month increase of 25 yuan (8.06%) [8] Inventory Data - **Domestic social inventory of nickel**: 39,486 tons, a decrease of 795 tons compared with the previous period [9] - **LME nickel inventory**: 211,212 tons, a decrease of 240 tons compared with the previous period [9] - **Stainless steel social inventory**: 966.2 tons, a decrease of 1.2 tons compared with the previous period [9] - **Nickel pig iron inventory**: 33,415 tons, an increase of 182 tons compared with the previous period [9]

1. Report Industry Investment Rating - Not provided in the content 2. Core Views of the Report Industrial Silicon - In the second half of the year, the industrial silicon industry will be in a cycle of accelerating the clearance of backward production capacity and entering the de - stocking process. The supply pressure will be released with the implementation of production plans in Southwest China during the wet season. The downstream demand is expected to strengthen, with the photovoltaic industry potentially boosting demand, while organic silicon and aluminum alloy enterprises maintaining stable demand. The price will show a wide - range fluctuation. Suggestions include looking for opportunities to go long on industrial silicon at low prices, SI2509 - SI2511 positive spread trading, and going long on industrial silicon while shorting polysilicon [4]. - Positive factors are the "anti - involution" policy, limited downward space for costs, and better - than - expected demand. Negative factors are the release of production capacity in Southwest China during the wet season and potential weakening of demand due to industrial integration in the polysilicon industry [5][6]. Polysilicon - In the second half of the year, the polysilicon market is in a stage where fundamental and "anti - involution" logics alternate. Fundamentally, lower electricity prices and higher profits may increase production capacity. However, demand growth is limited, and high inventory persists. If industry integration is effective, it may drive prices up. The suggestion is to focus on PS2508 - PS2511 positive spread trading [8]. - Positive factors are potential industry integration and increased external demand from the US. Negative factors are inventory accumulation if integration fails [9][10]. 3. Summary by Relevant Catalogs Industrial Silicon Futures Data - The industrial silicon main contract shows wide - range fluctuations, with a 20 - day rolling volatility of 34.7%, a daily increase of 1.09%, and the current volatility at the 96.4% historical percentile in 3 years. The main contract closing price is 8695 yuan/ton, up 3.33% from the previous period; the trading volume is 1473993 lots, up 54.58%; the open interest is 402890 lots, up 9.54%. SI09 - 11 spread is 90 yuan/ton, up 28.57% [2][13][15]. Spot Data - The prices of 553 and 421 industrial silicon in different regions have increased to varying degrees. For example, the price of East China 553 is 8850 yuan/ton, up 1.14%. The East China 553 basis is 435 yuan/ton, up 55.36%, and the East China 421 - 553 spread is 350 yuan/ton, unchanged [17]. Basis and Warehouse Receipts - The total warehouse receipts are 50090 lots, down 139 lots or 3.58% from the previous period. The warehouse receipt inventories in different delivery warehouses have different changes [24]. Polysilicon Futures Data - The polysilicon main contract also shows wide - range fluctuations, with a 20 - day rolling volatility of 44.99%, a daily increase of 0.01%, and the current volatility at the 84.73% historical percentile in 3 years. The main contract closing price is 41765 yuan/ton, up 1.05%. The trading volume and open interest of different contracts have different changes. PS08 - 09 spread is 320 yuan/ton, down 3.03% [2][27][29]. Spot Data - The prices of different types of polysilicon, such as P - type and N - type, have different daily changes. For example, the N - type polysilicon price index is 43.45 yuan/kg, down 3.01% [34]. Basis and Warehouse Receipts - The polysilicon main contract basis is 1685 yuan/ton, down 51.44% from the previous period. The warehouse receipts in different regions remain unchanged [41][43]. Risk Management Strategies - For inventory management of industrial silicon and polysilicon, when product inventory is high, strategies include shorting futures, selling call options, and buying out - of - the - money put options. For procurement management, when there is a risk of rising raw material prices, strategies include buying forward futures contracts, selling put options, and buying out - of - the - money call options [2]