Group 1 - The core viewpoint is that China's biopharmaceutical sector is experiencing significant growth in research and development capabilities, with a notable increase in the number of new drug approvals [1] - In 2023, the National Medical Products Administration (NMPA) approved 87 drugs, including 5 domestically innovative drugs, indicating a strengthening of China's drug development landscape [1] - The number of external licensing transactions has increased from 15 in 2019 to 33 in 2023, reflecting growing international confidence in Chinese biotechnology products [1] Group 2 - The Guotai Innovation Drug ETF (589720) focuses on innovative drug companies listed on the STAR Market, tracking an index of 30 representative high-quality companies [1] - Since the "924 market" period, the STAR Market innovative drug index has outperformed the Hang Seng Hong Kong Stock Connect innovative drug index, with respective gains of 117.04% and 109.62% during the market rebound from September 24, 2024, to September 30, 2025 [1] - The STAR Market innovative drug index may provide better exposure to the resilience of the STAR Market when market risk appetite increases [1]

Group 1 - The pharmaceutical sector continues to rebound, with the Guotai Innovation Drug ETF (589720) rising nearly 2% [1] - The Guotai Innovation Drug ETF focuses on innovative drug companies listed on the STAR Market, tracking 30 representative high-quality companies in the Shanghai Stock Exchange STAR Market Innovative Drug Index, primarily composed of high-growth biotech firms [1] - Since the "924 market" last year, the STAR Market Innovative Drug Index has outperformed major Hong Kong innovative drug indices, with returns from September 24, 2024, to August 31, 2025, showing increases of 125.97%, 121.81%, and 116.32% for the STAR Market Innovative Drug, Hong Kong Innovative Drug, and Hang Seng Hong Kong Stock Connect Innovative Drug indices, respectively [1] Group 2 - The STAR Market Innovative Drug Index may help capture the elasticity of the STAR Market during periods of increased market risk appetite [1]