Group 1 - The Hong Kong Special Administrative Region (HKSAR) government has issued approximately HKD 240 billion worth of green bonds to finance local green projects and provide benchmarks for potential issuers [1][3] - The funds raised through green bonds have been fully allocated or reserved for various green projects, including the construction and repair of the Cheung Sha Wan sewage main pumping station, the expansion plan for North District Hospital, and a high-performance computer system for the Hong Kong Observatory [3] - The Secretary for Financial Services and the Treasury, Christopher Hui, stated the commitment to strengthen Hong Kong's position as a regional and international center for green and sustainable finance, leveraging its advantages in the bond market, green finance, and fintech to create a conducive regulatory environment [3]

Core Viewpoint - The Green Bond Standard Committee has announced mechanisms to align the "Green Finance Support Project Catalog (2025 Edition)" with the "Green Bond Support Project Catalog (2021 Edition)" to enhance the green bond market's development [1][2]. Group 1 - Green bonds that are in existence or have been approved before the release of the 2025 catalog will continue to follow the 2021 catalog's applicable scope [1]. - For green bonds that have submitted materials but are not yet approved or registered at the time of the 2025 catalog's release, issuers can choose to apply either the 2021 or 2025 catalog for project recognition [1]. - From the effective date of the 2025 catalog, any changes to the project recognition for green bonds in the issuance phase must adhere to the 2025 catalog [1][3]. Group 2 - Green bonds that change the use of raised funds during their existence must apply the 2025 catalog for the new intended use [1]. - Issuers are encouraged to disclose information according to the 2025 catalog [1]. - Carbon-neutral bonds registered under the 2025 catalog must meet the criteria for "greenhouse gas emission reduction contribution" [2]. Group 3 - The Green Bond Standard Committee will update and optimize related mechanisms, such as the "Green Bond Ongoing Information Disclosure Guidelines," to promote high-quality development in the green bond market [2]. - Any adjustments to the 2025 catalog by regulatory bodies will automatically apply to this notification [2]. - The notification will take effect from the date of publication [3].

Core Insights - The central bank reported on the financial market operations for August 2025, highlighting significant bond issuance and market balances [1] Bond Market Issuance - In August, a total of 74,281.4 billion yuan in various bonds were issued, including: - Government bonds: 13,277.6 billion yuan - Local government bonds: 9,776.4 billion yuan - Financial bonds: 11,550.3 billion yuan - Corporate credit bonds: 12,391.4 billion yuan - Credit asset-backed securities: 212.2 billion yuan - Interbank certificates of deposit: 26,956.5 billion yuan [1] Bond Market Custody Balances - As of the end of August, the total custody balance of the bond market reached 192.0 trillion yuan, with: - Interbank market custody balance: 169.8 trillion yuan - Exchange market custody balance: 22.2 trillion yuan - By bond type, the custody balances were: - Government bonds: 38.4 trillion yuan - Local government bonds: 53.0 trillion yuan - Financial bonds: 43.9 trillion yuan - Corporate credit bonds: 34.1 trillion yuan - Credit asset-backed securities: 1.0 trillion yuan - Interbank certificates of deposit: 20.4 trillion yuan - The custody balance of commercial bank counter bonds was 222.5 billion yuan [1]

Group 1 - The overall bond market saw an increase in yields across all varieties in September, with the 10-year national development bond experiencing the highest rise [3][9] - In the credit bond sector, long-term varieties showed a significant widening of credit spreads, particularly the 5-year AAA, AA, and AA- credit bonds, which increased by 16 basis points, 14 basis points, and 14 basis points respectively [9][18] - The default amount in September slightly decreased to 6.79 billion, indicating a minor improvement in credit risk [27] Group 2 - The U.S. economy is showing signs of a slowdown, with weak employment performance and a slight increase in inflation expectations, as evidenced by a 2.9% year-on-year rise in CPI in August [33][37] - In contrast, the European and Japanese economies continue to expand, with stable inflation rates of 2.0% and 2.7% respectively in August [40] - Domestic economic growth in China has significantly declined, with the monthly GDP growth rate dropping to approximately 3.8% in August, which is 0.5 percentage points lower than July [3][61] Group 3 - The monetary policy in September continued to show a net withdrawal in the open market, with a total net withdrawal of 187.2 billion [98] - The MLF (Medium-term Lending Facility) operations in September resulted in a net injection of 300 billion, maintaining the same level as August [102] - The report emphasizes the need for a proactive monetary policy to support sectors such as technology innovation, consumption, and small and micro enterprises [106] Group 4 - The report highlights the importance of analyzing the internal structure of CPI, particularly the trends in non-food prices, as they are more indicative of demand-driven price changes [159] - The correlation between the 10-year government bond yield and non-food price growth has increased significantly since 2015, suggesting a shift in the factors influencing bond yields [159] - The report suggests that understanding the divergence between food and non-food prices is crucial for accurately interpreting inflation trends and their impact on monetary policy [159]

Core Insights - Hong Kong's financial markets, including the stock market, bond market, and asset and wealth management, are experiencing robust growth, with the Hang Seng Index showing exceptional performance this year [1][3] Stock Market - The Hang Seng Index has risen over 30% this year, following an 18% increase last year [3] - The Hang Seng Technology Index has increased by over 40%, while the biotechnology index has more than doubled [3] - Average daily trading volume in Hong Kong stocks for the first eight months was approximately HKD 250 billion, a 1.3 times increase compared to the same period last year [3] - The total amount raised through initial public offerings (IPOs) has exceeded HKD 150 billion, marking a nearly sixfold increase year-on-year [3] - The total market capitalization of Hong Kong stocks has surpassed HKD 48 trillion, significantly outperforming many other major global markets [3] Bond Market - The bond market is also showing strong growth, with the issuance of RMB "dim sum bonds" and green bonds experiencing steady increases [3] - In the first half of this year, the issuance of green bonds in Hong Kong is expected to exceed USD 34 billion, representing a 15% year-on-year increase [3] Asset and Wealth Management - The asset and wealth management sector recorded significant growth last year, with net inflows reaching HKD 705 billion, an increase of over 80% year-on-year [3]

Report Information - Report Date: September 30, 2025 [2] - Report Title: Daily Report on Major Asset Classes [9] Global Asset Market Performance 10-Year Treasury Yields of Major Economies - Yields on September 29, 2025: US 4.140%, UK 4.700%, France 3.531%, etc [3] - Latest Changes: US -0.036, UK -0.045, France -0.037, etc [3] - One-Week Changes: US -0.008, UK -0.012, France -0.028, etc [3] - One-Month Changes: US -0.090, UK -0.050, France -0.005, etc [3] - One-Year Changes: US 0.389, UK 0.778, France 0.594, etc [3] 2-Year Treasury Yields of Major Economies - Yields on September 29, 2025: US 3.640%, UK 3.983%, Germany 2.020%, etc [3] - Latest Changes: US 0.070, UK -0.026, Germany -0.007, etc [3] - One-Week Changes: US 0.070, UK 0.008, Germany 0.006, etc [3] - One-Month Changes: US 0.120, UK 0.023, Germany 0.069, etc [3] - One-Year Changes: US 0.050, UK 0.071, Germany -0.126, etc [3] US Dollar Exchange Rates Against Major Emerging Market Currencies - Rates on September 29, 2025: Brazil 5.322, South Africa ZAR 17.273, South Korean Won 1400.400, etc [3] - Latest Changes: Brazil -0.40%, South Africa ZAR -0.37%, South Korean Won -0.72%, etc [3] - One-Week Changes: Brazil -0.24%, South Africa ZAR -0.31%, South Korean Won 0.66%, etc [3] - One-Month Changes: Brazil -2.15%, South Africa ZAR -1.96%, South Korean Won 0.50%, etc [3] - One-Year Changes: Brazil -3.88%, South Africa ZAR -0.45%, South Korean Won 4.88%, etc [3] Stock Indices of Major Economies - Values on September 29, 2025: S&P 500 6661.210, Dow Jones Industrial Average 46316.070, NASDAQ 22591.150, etc [3] - Latest Changes: S&P 500 0.26%, Dow Jones Industrial Average 0.15%, NASDAQ 0.48%, etc [3] - One-Week Changes: S&P 500 -0.49%, Dow Jones Industrial Average -0.14%, NASDAQ -0.87%, etc [3] - One-Month Changes: Mexico Index 6.36%, UK Index 1.13%, France CAC 2.24%, etc [3] - One-Year Changes: S&P 500 16.48%, Dow Jones Industrial Average 9.95%, NASDAQ 25.69%, etc [3] Credit Bond Indices - Values on September 29, 2025: US Investment-Grade Credit Bond Index 3517.910, Eurozone Investment-Grade Credit Bond Index 265.036, etc [3] - Latest Changes: US Investment-Grade Credit Bond Index 0.34%, Eurozone Investment-Grade Credit Bond Index 0.13%, etc [4] - One-Week Changes: US Investment-Grade Credit Bond Index 0.09%, Eurozone Investment-Grade Credit Bond Index 0.08%, etc [4] - One-Month Changes: US Investment-Grade Credit Bond Index 1.56%, Eurozone Investment-Grade Credit Bond Index 0.51%, etc [4] - One-Year Changes: US Investment-Grade Credit Bond Index 3.50%, Eurozone Investment-Grade Credit Bond Index 3.93%, etc [4] Stock Index Futures Trading Data Index Performance - Closing Prices: A-share 3862.53, CSI 300 4620.05, SSE 50 2973.04, etc [5] - Price Changes (%): A-share 0.90%, CSI 300 1.54%, SSE 50 1.09%, etc [5] Valuation - PE(TTM): CSI 300 14.19, SSE 50 11.73, CSI 500 34.92, etc [5] - Month-on-Month Changes: CSI 300 0.15, SSE 50 0.05, CSI 500 0.47, etc [5] Risk Premium - 1/PE - 10-Year Interest Rate: S&P 500 -0.53, Germany DAX 2.40 [5] - Month-on-Month Changes: S&P 500 0.03, Germany DAX 0.04 [5] Fund Flows - Latest Values: A-share 836.51, Main Board 463.46, Small and Medium-Sized Enterprise Board - [5] - Average Values in the Past 5 Days: A-share -302.46, Main Board -264.41, Small and Medium-Sized Enterprise Board - [5] Trading Volume - Latest Values: Shanghai and Shenzhen Stock Exchanges 21614.61, CSI 300 6933.95, SSE 50 1899.69, etc [5] - Month-on-Month Changes: Shanghai and Shenzhen Stock Exchanges 145.76, CSI 300 946.71, SSE 50 397.81, etc [5] Main Contract Premiums or Discounts - Basis: IF -15.45, IH 2.96, IC -118.36 [5] - Premium or Discount Ratios: IF -0.33%, IH 0.10%, IC -1.61% [5] Treasury Bond Futures Trading Data Closing Prices - T00 107.660, TF00 105.485, T01 107.325, TF01 105.360 [6] Price Changes (%) - T00 0.00%, TF00 0.00%, T01 0.00%, TF01 0.00% [6] Money Market - Capital Interest Rates: R001 1.3776%, R007 1.8694%, SHIBOR-3M 1.5800% [6] - Daily Changes (BP): R001 -17.00, R007 32.00, SHIBOR-3M 0.00 [6]

Group 1 - The report addresses how to quantify current market implied interest rate cut expectations through interest rate swap pricing and floating rate bond spread analysis, aiming to fill gaps in traditional liquidity analysis [3] - The analysis identifies four stages of interest rate cut expectations evolution since 2024, indicating a significant reversal in market expectations compared to the beginning of the year [4] - Current market pricing does not reflect further easing potential and may even imply a marginal tightening of policy, suggesting that if a rate cut signal is released in Q4, it could create a significant positive impact on the bond market due to the existing low market consensus [4] Group 2 - The report highlights three marginal changes in institutional behavior following the breach of interest rates, indicating a shift in market dynamics [6] - Fund managers have significantly reduced their duration, with the median duration of long-term bond funds dropping to 2.8 years, and net purchases of ultra-long government bonds turning negative since early September [7] - Banks have been actively buying 10-year government bonds, acting as a buffer during the recent bond market correction, while the trading volume of certain bonds has shown a rapid adjustment [8]

Core Insights - The issuance of technology innovation bonds (科创债) in China has seen significant growth in 2023, with a total issuance of 1.58 trillion yuan, marking a year-on-year increase of 74.94% [2][3] - The rapid development of the 科创债 market is driven by strong policy support and market demand, leading to a transformation in the structure and quality of issuers and products [3][4] Group 1: Market Growth and Policy Support - The 科创债 market has expanded significantly, with 1,428 bonds issued in the first three quarters of 2023, reflecting a 43.95% increase in the number of issuances compared to the previous year [2] - The introduction of new policies in May 2023 has accelerated the issuance of 科创债, with the monthly issuance reaching 351.38 billion yuan shortly after the policy announcement [2][3] Group 2: Issuer Diversity and Product Innovation - The new policies have diversified the types of issuers, allowing commercial banks, securities firms, and private equity institutions to participate, which has led to a total issuance of 2.53 billion yuan from 29 banks and 766 million yuan from 41 securities firms [3] - There has been a notable increase in long-term bonds, with bonds of 10 years or more accounting for 8.34% of the total issuance, aligning with the long-term funding needs of technology innovation [3] Group 3: Secondary Market Activity - The trading volume of 科创债 in the secondary market reached 792.51 billion yuan in the first three quarters of 2023, a 55.53% increase from the previous year [4] - The introduction of standardized investment tools, such as 科创债 ETFs, has significantly enhanced market liquidity, with the total scale of these ETFs surpassing 240 billion yuan [5][6] Group 4: Future Outlook - Experts predict that the 科创债 market will see further breakthroughs, including the inclusion of more specialized small and medium-sized enterprises and customized products targeting emerging technologies [7] - The interaction between the primary and secondary markets is expected to improve, creating a virtuous cycle of financing convenience, diversified investment, and market expansion [7]

Core Insights - The article discusses the role of green sovereign bonds in supporting green low-carbon development in the context of China's dual carbon goals, highlighting their significance in financing and policy alignment [1][2]. Group 1: Global Green Sovereign Bonds - Since Poland issued the first green sovereign bond in 2016, sovereign governments have become key issuers in the global green bond market, with countries like France, Germany, and the UK establishing a comprehensive green yield curve [2]. - The existence of a green premium (Greenium) has been validated by Germany's "twin bond" design, indicating that capital markets are willing to pay extra for sustainable attributes, thus providing new pricing benchmarks for green finance [2]. - Green sovereign bonds set a standard for market transparency and information disclosure due to their strict monitoring and reporting requirements, enhancing investor confidence and encouraging other issuers to adopt similar practices [2]. Group 2: China's Institutional Breakthrough - China's green bond market has rapidly developed, surpassing RMB 5 trillion in issuance by the end of Q1 2025, but there has been a disconnect between fiscal policy and financial markets [3]. - The introduction of the green sovereign bond framework addresses this gap by incorporating green bond funding into the central fiscal budget, marking the first time green finance is considered in national budget planning [3]. - The framework specifies six categories of green expenditures, emphasizing public welfare, and establishes a mechanism for environmental benefit indicators and external evaluations, setting a standard for domestic green bond information disclosure [3]. Group 3: Practical Significance of the First Green Sovereign Bond - In April 2025, China issued RMB 6 billion in green sovereign bonds in London, with a subscription amount of RMB 41.58 billion, achieving an oversubscription ratio of 6.9 times [4][5]. - The issuance demonstrates China's commitment to global climate governance and enhances the international influence of its bond market while providing a low-cost financing channel for green expenditures [5]. - The issuance serves as a model for domestic green bond markets through strict adherence to funding use, information disclosure, and external evaluations [5]. Group 4: Policy Implications and Conclusion - Future efforts should focus on diversifying green sovereign bond offerings to include various maturities and currencies, creating a systematic yield curve [6]. - There is a need to explore domestic issuance of green national bonds and savings bonds to engage public participation in green development [6]. - Strengthening fiscal-financial collaboration and expanding the scope of sovereign bonds to include new areas like carbon neutrality and rural revitalization will enhance China's sustainable finance framework [6]. - The issuance of the first green sovereign bond marks a significant institutional breakthrough in China's fiscal-financial collaboration for green low-carbon development, with potential for further improvements in various aspects [6].

Group 1 - Multiple securities and battery-related ETFs saw significant gains on September 29, with the Hong Kong Securities ETF leading the way, rising over 6% and achieving a trading volume of 475.18 billion yuan, the highest for the day [1][4][10] - The technology innovation bond ETFs were also active, with half of the top ten ETFs by trading volume being such products, including the Guotai and Huatai ETFs, each exceeding 10 billion yuan in trading volume [2][10] - The previous trading day (September 26) saw substantial net inflows into several technology innovation bond ETFs and the CSI A500 ETF, with net inflows exceeding 1 billion yuan [3][12] Group 2 - The technology innovation semiconductor materials and equipment index has surged by 127.17% since September 24, 2024, indicating strong growth potential in the semiconductor sector [6] - The technology innovation semiconductor ETF (588170) experienced over 1.6 billion yuan in net inflows in the past month, reflecting strong investor interest in this segment [7] - The semiconductor equipment and materials industry is expected to enter a rapid growth phase, with established delivery and validation cycles creating a competitive advantage for firms in this space [7] Group 3 - Coal ETFs, along with others like the Saudi ETF and the All-Index Cash Flow ETF, experienced declines, indicating a shift in investor sentiment away from these sectors [8] - The market outlook suggests a continuation of the upward trend in A-shares, driven by technological advancements and supportive policies for AI and innovation sectors [13]