Core Viewpoint - Recent announcements from multiple banks indicate a trend of redeeming preferred shares, driven by cost optimization and capital structure adjustments in response to regulatory requirements [4][6]. Group 1: Redemption of Preferred Shares - Ningbo Bank plans to fully redeem 100 million preferred shares issued on November 7, 2018, with a total scale of 10 billion RMB, at a redemption price of 104.5 RMB per share, scheduled for November 7, 2025 [1]. - Hangzhou Bank, Shanghai Bank, and Changsha Bank also announced plans to redeem their preferred shares in December 2025, with similar redemption structures [2]. - The total amount of preferred shares redeemed by banks this year is significant, with a focus on optimizing costs and reducing liabilities [1][2]. Group 2: Issuance of Perpetual Bonds - In conjunction with the redemption of high-cost preferred shares, banks are increasingly issuing perpetual bonds as a replacement, with 51 perpetual bonds issued this year totaling 675.4 billion RMB, surpassing last year's figures [1][6]. - Perpetual bonds are seen as a more flexible and lower-cost capital tool compared to preferred shares, which typically have higher dividend rates [4][6]. Group 3: Market Trends and Regulatory Environment - The trend of redeeming preferred shares and issuing perpetual bonds reflects a broader market shift, where banks are adapting to lower interest rates and tighter regulatory requirements [4][7]. - The issuance of perpetual bonds is particularly crucial for smaller banks facing capital adequacy pressures, as they seek to enhance their capital structure and meet regulatory demands [7].