Core Viewpoint - The article discusses the differences in the recognition standards for "light asset" and "high R&D investment" between the Shenzhen Stock Exchange (SZSE) and the Shanghai Stock Exchange (SSE), highlighting specific criteria and implications for companies seeking to raise funds through securities issuance [1][2]. Summary by Sections Recognition Standards - Both exchanges have the same criteria for recognizing light assets, but differ in the criteria for high R&D investment. SZSE requires either an average R&D investment of at least 15% of operating income over the last three years or a cumulative R&D investment of at least 300 million yuan with an average of at least 3% of operating income [1][4]. - SSE requires companies to meet both criteria: an average R&D investment of at least 15% of operating income over the last three years or a cumulative R&D investment of at least 300 million yuan, along with a requirement that R&D personnel constitute at least 10% of total employees in the most recent year [1][4]. Fundraising and Use of Proceeds - Both exchanges allow companies that do not meet the "light asset, high R&D investment" criteria to raise funds for projects aligned with national strategic directions, permitting the proportion of funds used for working capital and debt repayment to exceed 30% of the total raised, provided the rationale is well-documented. However, SZSE stipulates that the excess should primarily be used for R&D related to the main business [2][5]. - SZSE has a specific provision that limits the proportion of funds used for working capital and debt repayment to no more than 30% for companies under delisting risk warnings, a requirement not present in SSE's guidelines [2]. Reporting and Disclosure Requirements - Companies must disclose specific details in their fundraising prospectus, including the composition and proportion of light asset characteristics, average R&D investment ratios, and the rationale for exceeding the 30% limit on funds for working capital and debt repayment [4][5]. - Both exchanges require that the use of funds exceeding the 30% limit should ideally continue to support R&D related to the main business [5].

Group 1 - The Caixin Manufacturing PMI for June is reported at 50.4, an increase of 2.1 percentage points from the previous month, exceeding market expectations, indicating a weak economic recovery trend [1] - The production index and new orders index have returned to the expansion zone, with the production index reaching a seven-month high [1] - The cautious procurement behavior of enterprises due to demand uncertainty and active destocking actions have kept the price index low, but overall economic recovery appears more certain [1] Group 2 - The Ministry of Finance, State Taxation Administration, and Ministry of Commerce announced a tax credit policy for foreign investors, allowing a 10% tax credit on profits reinvested in China for investments held for over five years from January 1, 2025, to December 31, 2028 [2] - This policy aims to reduce tax burdens for foreign investors, enhance investment returns, and attract reinvestment in high-tech and green energy sectors [2] - The five-year holding requirement is expected to stabilize capital flows and reduce market volatility, complementing previous tax exemptions for foreign investments in domestic bond markets [2] Group 3 - The expansion of QDII quotas signals three key messages: promoting bilateral financial openness, alleviating one-way capital flow pressure, and guiding institutions in global asset allocation [3] - The Shenzhen Stock Exchange issued new guidelines for listing companies, removing the 30% fundraising limit for companies classified as "light asset, high R&D input," enhancing financing flexibility for R&D-intensive firms [3] - This new regulation is expected to optimize capital market structure and direct more funds towards innovative sectors, particularly benefiting strategic emerging industries [3] Group 4 - On July 1, A-shares showed mixed performance, with the Shanghai Composite Index rising by 0.39% to 3457.75 points, while the ChiNext Index fell by 0.24% to 2147.92 points [4] - The top-performing sectors included comprehensive, pharmaceutical, and banking, while computer, retail, and communication sectors experienced declines [4] - A total of 2551 stocks rose, while 2421 stocks fell, indicating a diverse market response [4] Group 5 - The market turnover was reported at 14967.62 billion, showing a decline from the previous trading day, while the margin financing balance increased to 18504.52 billion [5]