Core Viewpoint - The value style continues to show strong performance, with the Guozheng Value 100 Index rising by 1.3% and over 10% since October, driven by economic recovery expectations and dividend premiums [1] Group 1: Market Performance - The Guozheng Value 100 Index has achieved a four-day consecutive increase, while the Guozheng Free Cash Flow Index rose by 1.1% [1] - The value ETF (159263) has seen net inflows for six consecutive trading days, with an additional net subscription of 35 million units today [1] Group 2: Economic Factors - The recent rise in value style is attributed to economic recovery expectations rather than merely a "high to low" market trend [1] - The current non-manufacturing PMI in China has crossed the threshold, indicating potential benefits for traditional value sectors such as home appliances and banking due to demand recovery [1] Group 3: Investment Characteristics - The value index is characterized by high dividends, low valuations, and strong risk resistance, enhancing its allocation value [1] - The Guozheng Value 100 Index employs a three-dimensional screening system focusing on "high dividends + high free cash flow + low price-to-earnings ratio" to select value stocks, demonstrating stable historical performance [1] Group 4: Sector Focus - The Guozheng Free Cash Flow Index selects based on free cash flow rates, favoring cash-rich value assets, with the top three weighted industries being non-ferrous metals, automobiles, and oil & petrochemicals [1] Group 5: Investment Tools - The value ETF (159263) and the E Fund Free Cash Flow ETF (159222) track the aforementioned indices, providing investors with convenient tools to invest in undervalued quality assets and capitalize on style switching opportunities [1]

Core Viewpoint - The rise in consumer stocks, particularly Luzhou Laojiao, has led to a significant increase in the value ETF (159263), which has outperformed the CSI Dividend Index by approximately 4% since October, indicating a strong market response to positive economic signals and consumption policies [1] Economic Indicators - The Ministry of Finance released a report on November 7, indicating continued implementation of measures to boost consumption in the first half of 2025 [1] - In October, the Consumer Price Index (CPI) rose by 0.2% month-on-month and year-on-year, with the core CPI (excluding food and energy) increasing by 1.2%, marking the sixth consecutive month of growth [1] Market Dynamics - The current market rally is attributed to expectations of economic recovery and the resonance of dividend premiums, rather than merely a "high-cut low" market trend [1] - The non-manufacturing PMI in China has crossed the threshold, benefiting traditional value sectors such as home appliances and banking due to recovering demand [1] Investment Trends - The Value 100 Index, characterized by high dividends, low valuations, and strong cash flow, has shown an annualized return of over 17.5% since its inception in 2013, with a current dividend yield of 4.9%, compared to 4.3% for the CSI Dividend Index [1] - There has been a continuous net inflow into the value ETF, with a net inflow of 242 million yuan over the past 20 days [1][2]