Core Insights - The attractiveness of wealth management products has increased as deposit rates decline, leading to a shift in asset allocation from traditional savings to diversified financial products [1][2][4] Wealth Management Product Growth - The number of wealth management products in the market reached 43,900 by the end of Q3 2025, marking a year-on-year growth of 10.01% [2] - The total scale of these products was 32.13 trillion yuan, reflecting a year-on-year increase of 9.42% [2] Changes in Deposit Structure - There has been a marginal improvement in demand for demand deposits, with a notable increase in their growth rate [3] - As of the end of September, the balance of demand deposits in one bank was 12.69 trillion yuan, with a year-to-date increase of 502.3 billion yuan, representing a growth rate of 4.12% [3] Impact of Market Conditions - The capital market's recovery has led to a shift in residents' asset allocation, with stocks and funds becoming primary alternatives to traditional savings [2][3] - The A-share market has seen a 20% increase since June 23, 2025, contributing to the growing appeal of capital market investments [2] Interest Rate Dynamics - The repricing of high-interest deposits is expected to alleviate the pressure on banks' net interest margins, with potential downward adjustments of 30 basis points per year anticipated for deposit rates [4][5] - The decline in deposit rates is projected to continue, benefiting banks by reducing their funding costs [4][5] Asset Allocation Trends - There is a noticeable shift in residents' asset allocation from "single savings" to "diversified financial management," driven by the decreasing attractiveness of low-interest deposits [4][5] - The preference for fixed-term deposits has been influenced by the need for capital preservation and risk aversion in the current financial environment [5]