Core Viewpoint - The launch of the first batch of Sci-Tech Bond ETFs has seen a significant surge in scale, indicating a strong market interest and potential for future growth in the sector [1][2]. Group 1: Fundraising and Market Activity - On July 11, the first batch of 10 Sci-Tech Bond ETFs was established with a total issuance scale of 289.88 billion yuan. By July 17, the total trading volume on the first day exceeded 800 billion yuan, and by the end of the trading day, the scale had increased to 764.99 billion yuan [1]. - Several Sci-Tech Bond ETFs have entered the 100 billion yuan club, with notable increases in scale: Huaxia Sci-Tech Bond ETF rose from 29.61 billion yuan to 141.81 billion yuan; Penghua Sci-Tech Bond ETF from 29.94 billion yuan to 109.98 billion yuan; and Jiashi Sci-Tech Bond ETF from 29.59 billion yuan to 108.94 billion yuan [1]. - On July 18, trading remained active with total transaction amounts exceeding 1 trillion yuan, with multiple ETFs surpassing 100 billion yuan in trading volume [1]. Group 2: Investor Composition - Institutional investors are the primary buyers of the Sci-Tech Bond ETFs, with ownership ratios exceeding 90% for eight ETFs, and some reaching as high as 99%. The top ten holders of the first batch of ETFs are all institutional investors, including trusts, brokerages, and banks [2]. - Notable institutional investments include over 1.3 billion yuan held by Guotou Securities and Jianxin Trust in the Fuguo Sci-Tech Bond ETF, along with significant holdings from pension products [2]. Group 3: Liquidity and Market Mechanisms - Liquidity is crucial for ETFs, and market makers play a key role in providing this liquidity. Since July 17, several Sci-Tech Bond ETFs have announced the addition of market makers to enhance market liquidity [3]. - Fund companies have applied to include their Sci-Tech Bond ETFs in the repurchase pledge library, which could allow investors to use the ETFs for collateralized financing, thereby improving market liquidity and trading activity [3]. Group 4: Future Potential and Policy Support - Industry experts believe that the development of Sci-Tech Bond ETFs has significant potential to direct funds towards cutting-edge technology innovation sectors. The ETFs are expected to enhance the liquidity of bonds issued by technology innovation companies and promote the healthy development of the bond market [4]. - The "Action Plan for Promoting High-Quality Development of Index Investment in Capital Markets" emphasizes the need to enrich the supply of bond ETFs while managing liquidity and credit risks, indicating strong policy support for the sector [5]. - The total scale of bond ETFs has reached a historical high of 4810.58 billion yuan as of July 17, 2023, reflecting rapid growth and the potential for the market to reach a scale of 1 trillion yuan in the future [6].