Core Viewpoint - The significant reduction of shares in Zijin Mining by GIC occurs despite rising gold and copper prices, indicating a strategic move to lock in profits and potentially reallocate assets [1][3]. Group 1: Shareholding Changes - GIC reduced its holdings in Zijin Mining by over 60 million shares in the first quarter, cashing out approximately 1 billion HKD [1][2]. - As of March 27, GIC held about 358 million shares, representing a 5.99% stake after the reduction [2]. - GIC's holdings were previously at 420 million shares, indicating a substantial decrease in a short period [3]. Group 2: Market Conditions - Gold prices surpassed 3000 USD/ounce and copper prices exceeded 80,000 CNY/ton during the same period, reflecting a high market environment [1]. - Despite the rise in precious metal prices, many large mining stocks, including Zijin Mining, have not reached new highs for 2024, suggesting potential overvaluation [8][10]. - The cyclical nature of the gold market indicates that while prices are high, the risk of market volatility also increases [3][10]. Group 3: Company Performance - Zijin Mining reported record high revenues of 303.64 billion CNY and net profits of 32.05 billion CNY, marking a 3.49% and 51.76% year-on-year increase, respectively [4]. - The company has seen significant growth in production and profits from major minerals, driven by strategic acquisitions in previous years [9]. Group 4: Investment Strategies - Analysts suggest that GIC's decision to reduce its stake may be a strategy to lock in profits and avoid potential price corrections in the market [3][10]. - The overall macroeconomic environment and changes in global monetary policy may lead GIC to adjust its asset allocation towards more stable or promising asset classes [3].