Core Insights - The company is transitioning to three types of roles: H for human, R for robot, and A for intelligent agents, indicating a significant shift in workforce structure towards AI integration [1][11] - The deployment of AI has achieved a three-tier leap: from a technical tool to organizational transformation, from internal application to external output, and from efficiency enhancement to value creation, demonstrating the effectiveness of the company's "embracing AI" strategy [3][11] AI Employee Deployment - The first batch of six AI employees has been officially recognized, covering various roles including project operation assistants, park operation assistants, and HR support, showcasing the diverse applications of AI within the organization [4][11] - The project operation AI assistant has been deployed in nearly 300 projects, actively scanning data every 15 minutes to identify anomalies and suggest improvements, thus enhancing operational efficiency [5] - The park operation AI assistant has improved the efficiency of park managers by over 50%, allowing them to focus on value creation rather than routine tasks [5] AI Applications and Innovations - The AI reimbursement system has streamlined the expense reporting process, reducing the time taken from 150 seconds to just 50 seconds per submission, with a 90% automation rate in backend auditing [8] - The AI station manager assistant simplifies operations for service station managers by integrating data analysis and reporting, enhancing overall project management [9] - The financial AI assistant supports various financial processes, including payment tracking and expense reporting, and is continuously learning to improve its service capabilities [10][12] Future Directions - The company aims to build capabilities around three key themes: assets, low carbon, and AI, with a focus on transforming from "managing people" to "managing tasks" through AI integration [11] - The company has applied for a patent related to a training dataset construction method based on large models and retrieval-augmented generation (RAG) technology, indicating a commitment to advancing its AI capabilities [11][12]

Investment Rating - The report maintains a "Positive" rating for the real estate and property management sectors [4][32]. Core Insights - The report highlights a continued downward trend in both new and second-hand housing transactions, with a significant decrease in new home sales in major cities [4][5]. - The central government emphasizes urban renewal as a key strategy to stabilize the real estate market, indicating a shift towards more robust policy support [4][32]. - The report suggests that while transaction volumes have stabilized, they have not yet entered a positive cycle, and further supportive measures are anticipated [4][32]. Industry Data Summary New Home Transactions - In the week of July 12-18, 2025, new home sales in 34 key cities totaled 1.591 million square meters, a week-on-week decrease of 20.1% [4][5]. - Year-to-date, new home sales are down 11% compared to the previous year, with first and second-tier cities experiencing a 17.3% year-on-year decline [6][32]. Second-Hand Home Transactions - In the same week, second-hand home sales in 13 key cities totaled 1.031 million square meters, reflecting a week-on-week decrease of 5.4% [4][13]. - Cumulatively, second-hand home sales are down 11.4% year-on-year as of July [4][13]. Inventory and Market Dynamics - The report notes that 15 cities had a total of 730,000 square meters of new homes launched, with a sales-to-launch ratio of 0.87, indicating ongoing inventory challenges [4][23]. - The average months of inventory for new homes in these cities has increased to 19.8 months [4][23]. Policy and News Tracking - The central government has called for a focus on urban renewal, with various local governments implementing "old-for-new" subsidy policies to stimulate the market [4][32]. - Recent statistics show a 11.2% year-on-year decline in real estate development investment for the first half of 2025 [4][32]. Company Dynamics - Several real estate companies have reported their half-year performance, with notable declines in sales for major players like China Resources Land and Longfor Group [4][32]. - Companies such as Zhonghua Enterprises and Nanshan Holdings have reported significant profit increases, while others like Vanke and JinDi Group have faced substantial losses [4][32].

Investment Rating - The report maintains a "Recommended" rating for the industry, indicating a positive outlook for investment opportunities [2]. Core Insights - The report emphasizes that the macroeconomic policy in the second half of the year will focus on addressing price issues, which could significantly alter the pricing logic of domestic assets and impact market trends [5][6]. - The ongoing "involution" phenomenon in both supply and demand sides is contributing to downward price pressures, necessitating policy interventions from both sides to alleviate these pressures [3][4]. - The introduction of the Science and Technology Innovation Bond ETF is seen as a significant development, with a rapid expansion of the market for science and technology bonds, indicating strong support for technological innovation financing [10][11]. Summary by Sections Macroeconomic Analysis - The likelihood of achieving a 5% economic growth target for the year is high, but the need for additional policies to stimulate growth is decreasing [2]. - Price levels are under pressure, leading to negative growth in prices, which affects the normal circulation of the national economy [2][3]. Supply and Demand Dynamics - The report identifies that excessive working hours among employees are suppressing reasonable consumer demand, contributing to an oversupply situation [3]. - It suggests that addressing the "involution" requires measures on both supply and demand sides, including the orderly exit of inefficient production capacities [3][4]. Science and Technology Innovation Bonds - The launch of the Science and Technology Innovation Bond ETF is part of a broader policy initiative to support technological innovation, with significant growth in the issuance of science and technology bonds [10][11]. - The report highlights that the current market for science and technology bonds has expanded rapidly, with a total issuance exceeding 620 billion yuan as of early July [10][11]. Banking Sector Analysis - The report discusses the importance of evaluating bank asset quality, emphasizing the need for a comprehensive assessment of various indicators to gauge the health of banks [19][20]. - It introduces new metrics such as "broad non-performing asset ratio" and "excess provision profit multiple" to provide a more accurate picture of banks' asset quality [22][23]. Securities and Investment Strategy - The report notes that the securities market is entering a phase of stock competition, with a focus on long-term investment strategies and the importance of adapting to regulatory changes [26][27]. - It suggests that the brokerage sector is poised for growth, particularly in the context of ongoing market reforms and the increasing role of institutional investors [25][28].

Macro - The likelihood of achieving a 5% economic growth target for the year is high, with a decreasing necessity and intensity for incremental policies in the second half of the year [1] - Continuous price pressure has negatively impacted the normal circulation of the national economy, leading to a focus on addressing price issues through unconventional macroeconomic policies [1][2] - The phenomenon of "involution" in both supply and demand sides has intensified downward price pressures, with low capacity utilization and excessive capital expenditure on the supply side, and long working hours suppressing consumer demand on the demand side [2][3] Strategy - The IPO process in Hong Kong involves both public offerings and international placements, with the former primarily targeting retail investors, leading to a liquidity "drain" effect due to the need for investors to freeze funds for subscriptions [6][8] - The introduction of the FINI system in 2023 has significantly reduced the liquidity pressure associated with IPOs by allowing for a pre-set funding compression mechanism, which can save approximately 71% of the funds that would have been frozen historically [8] - The launch of the first batch of Sci-Tech Bond ETFs on July 7, 2025, raised 29 billion yuan, marking a significant expansion in the Sci-Tech bond market, which has seen rapid growth due to supportive policies [9][10] - The current Sci-Tech bonds are predominantly issued by state-owned enterprises, with a significant portion allocated to the banking sector, indicating a strong focus on financing technology innovation [10][11] Non-Bank Financials - The securities industry is expected to benefit from a stable equity market and a recovering bond market, with significant growth in financing activities driven by state-owned banks [22][23] - The competitive landscape is shifting towards a focus on functionality and profitability, with a notable increase in the concentration of leading firms in the industry [24][25] - The capital market is stabilizing, with various funding sources supporting a potential upward breakout in equity markets, positioning brokerages as key players in this trend [26][27] Real Estate - The valuation of major real estate companies is believed to have entered an investment range, with a focus on the "demand bottom" and the dynamics of supply and demand relationships [28] - A potential decline in new housing prices is anticipated, with second-hand housing listings expected to decrease in the coming years, indicating a stabilization in the market [28] Fund Evaluation - The report highlights the regulatory framework surrounding performance benchmarks for mutual funds in the U.S., emphasizing the importance of appropriate benchmark selection for fund performance evaluation [29][30] - U.S. actively managed funds predominantly use single benchmarks, with a high correlation between fund performance and benchmark indices, contrasting with the more complex benchmark structures often seen in China [30][31]

Core Viewpoint - The residents of the Tangquan Yishu community in Haidian District are facing significant inconvenience due to the recent cessation of 24-hour hot water supply by the old property management, citing losses as the reason. This situation has raised concerns about the management of property services in the community [1][11]. Property Management Issues - The community is currently managed by two property management companies: the new property management company, Jindi Property, and the old property management company, Derun Property. The old property continues to provide services under the guise of a "service provider" despite the new management being hired by the residents [3][9]. - Residents have reported that the old property management has not repaired long-standing issues such as broken tiles and peeling walls in the underground parking area, indicating poor service quality [5][7][10]. Hot Water Supply Disruption - The hot water supply, previously a selling point for the community, has been disrupted since June due to the old property management's claims of financial losses. The cost of hot water has reportedly increased from 30 yuan per ton to a proposed 80 yuan, which residents find unacceptable [8][11]. - Only 304 out of 843 households in the community are currently using the hot water system, leading to increased installations of individual water heaters among residents [11]. Legal and Ownership Complications - The old property management claims that the hot water supply is unsustainable without a price increase, while the local authorities have indicated that the developer, currently in bankruptcy proceedings, can no longer subsidize the costs [11][12]. - Legal experts assert that a property management area should ideally be managed by a single property management company, regardless of ownership of specific facilities. This has led to ongoing disputes regarding the management rights of the old property [13][14]. Future Prospects - The community's management structure is complicated by the ownership of certain areas by the developer, which has hindered the complete transfer of management responsibilities to the new property management company. Efforts are being made to clarify ownership and potentially unify management under one company [12][14].

Core Insights - The report indicates that urbanization in China is transitioning from a rapid growth phase to a stable development phase, emphasizing a shift from large-scale incremental expansion to a focus on improving existing stock and efficiency [1][2][8] - The emphasis on "high-quality urban renewal" suggests a move away from large-scale demolitions towards enhancing urban functionality and quality [1][2][9] - The report highlights the importance of integrated planning involving population, industry, urban areas, and transportation to optimize urban spatial structure [1][2][7] Industry Overview - The total number of stocks in the industry is 256, with a total market capitalization of 2,792 billion and a circulating market capitalization of 2,643.8 billion [3] - The absolute performance over 1 month, 6 months, and 12 months is 3.2%, 5.8%, and 35.2% respectively, while the relative performance is -0.9%, -0.1%, and 19.6% [5] Urban Renewal and Development - The report notes a significant change in the approach to urban renewal, focusing on quality improvements rather than extensive demolition [2][7][9] - The mention of "steady progress in the renovation of urban villages and dilapidated housing" indicates a more cautious and structured approach to urban renewal [1][2][9] Real Estate Development Model - The report suggests that there will be a continued push towards establishing a new model for real estate development, consistent with previous governmental statements [1][2][7] - The focus on optimizing the quality of land supply and urban planning is expected to create new opportunities in the real estate sector [1][2][7] Investment Opportunities - The report identifies potential investment opportunities in companies with capabilities in managing existing assets, such as China Resources Land, China Merchants Shekou, and China Overseas Development [8][10] - Companies involved in urban governance and public services, such as China Resources Vientiane Life and Poly Property, are highlighted as potential investment targets [8][10] - The report also suggests looking into sectors related to urban renewal, including inspection and testing, decoration, construction, and building materials for pipeline upgrades [8][10]

聚焦物业小区，织密公共消防"安全屏障"。针对小区电动车违规停放充电、设备设施维护保养、环 境卫生等关键问题，区住建局联合街道展开全面检查。针对小区防汛工作，督促物业加强地下车库排水 设施设备维护，全面检查并清理小区排水管道并实行24小时值班制度，密切关注天气变化，全力应对汛 情与高温天气带来的挑战。 聚焦工地现场，筑牢建筑施工"安全防线"。区住建局联合市建管处等部门，深入崇实女中升级改造 项目等现场开展重点检查，聚焦工地现场临时用电、脚手架、起重机械等重大危险源开展重点检查，对 工地活动板房、围挡等设施进行全面排查，确保各类设备设施在高温环境下能够安全稳定运行。同时， 督促施工单位压实安全责任，严格执行各项安全管理措施，做好现场人员防暑降温和卫生保障、强化施 工现场临时用电管理、科学合理安排作业时间，保障工人的身体健康和生命安全。 聚焦危旧片区，守牢危房度汛"安全底线"。区住建局成立行动专班，通过"地毯式"实地勘验，对京 畿路片区及街巷周边的危旧房屋、经营性自建房等既有建筑存在结构安全隐患的房屋进行逐一核查整 治。同时，对沿街商铺进行装饰装修专项"体检"，并向商户详细讲解房屋安全"红线"。对存在严重安全 隐患 ...

Economic Overview - In the first half of the year, China's GDP reached 66.05 trillion yuan, growing by 5.3% year-on-year, with Q1 growth at 5.4% and Q2 at 5.2% [2] - The National Bureau of Statistics indicated that economic indicators exceeded expectations, with a stable and positive development trend [2] - Consumer spending is expected to continue its positive trajectory, supported by new policies aimed at stabilizing the economy [2] International Relations - China's Foreign Ministry reiterated that dialogue is the only viable solution to the Ukraine crisis, opposing the imposition of tariffs as a means of pressure [3] - The EU has no intention of implementing trade countermeasures against the US before August 1, despite the US's announcement of tariffs on EU imports [6] Industry Developments - The National Development and Reform Commission announced a reduction in domestic gasoline and diesel prices by 130 yuan and 125 yuan per ton, respectively, effective July 15, 2025 [4] - The National Medical Insurance Administration has initiated the 11th batch of centralized drug procurement, including 55 drug varieties [5] - The Ministry of Industry and Information Technology is seeking public input on the revision of safety standards for mobile power supplies, indicating stricter regulations ahead [6] Company News - Geely Auto signed a merger agreement with Zeekr [8] - Chu Tian Long is exploring digital currency applications but faces risks related to technology development [8] - Three Biotech received a preliminary anti-dumping ruling from the US Department of Commerce with a 450.64% duty [8] - ST Weir plans to acquire 51% of Zijiang New Materials for 546 million yuan, entering the lithium battery materials sector [8] Market Insights - The Shanghai Composite Index has broken through previous resistance levels, indicating a positive feedback loop of capital inflow [10] - The real estate market is showing signs of stabilization, with new home prices experiencing a smaller year-on-year decline [11]

Core Viewpoint - Zhongtian Service Co., Ltd. has signed a strategic cooperation agreement with Hangzhou Tuoshen Technology Co., Ltd. to enhance resource sharing and mutual development in the application of digital and intelligent technologies in the property management industry [2] Group 1: Strategic Cooperation and Acquisition - Zhongtian Service plans to acquire all shares held by Shanghai Tianji Investment Co., Ltd. in Hangzhou Tuoshen, with a transaction price of 52.03 million yuan for a stake corresponding to 3.5786 million yuan [2] - The cooperation aims to leverage Hangzhou Tuoshen's technological advantages to improve energy management efficiency, intelligence, and safety in property management projects [2] Group 2: Industry Trends and Technological Integration - The property management industry is shifting focus from quantity to quality, emphasizing smart and digital transformation as residential properties enter a stock development phase [3] - The integration of digital power management in residential communities can enhance service efficiency through smart distribution management, energy consumption monitoring, and safety diagnostics [3][4] - Zhongtian Service's proactive embrace of technology marks a critical step in its transformation from a property manager to a service operator, creating a sustainable "digital moat" [4] Group 3: Recommendations for the Industry - Other companies in the property management sector should define their technology strategies and focus on addressing specific pain points in vertical scenarios, rather than pursuing blind self-research [4][5] - The industry should adopt an open cooperation approach to integrate ecological resources and innovate under a light asset model for high-quality development [5]

Investment Rating - The report maintains an "Accumulate" rating for the real estate industry [1] Core Views - The real estate market is experiencing seasonal adjustments in transaction volumes, leading to increased efforts in recovering idle land reserves [1] - The report highlights a significant decline in new home sales, with a 51.6% decrease week-on-week and an 18.4% decrease year-on-year for the week of July 5-11, 2025 [13] - The second-hand housing market shows a slight recovery with a 0.1% increase week-on-week, although it remains down 6.3% year-on-year [19] - The report emphasizes the importance of stabilizing the real estate market as a necessary condition for economic transformation, suggesting that current policies are beginning to take effect [8] Summary by Sections 1. Sector Views - The report suggests that the current policy environment recognizes the need for a stable and healthy real estate market for economic development, indicating a potential turning point in the current cycle [8] - Recommendations include strong local state-owned enterprises and quality private companies such as China Resources Land, Poly Developments, and Binjiang Group [8] 2. Real Estate Fundamentals and High-Frequency Data 2.1. Real Estate Market Conditions - New home sales in 36 cities totaled 144.4 million square meters, with a week-on-week decrease of 51.6% and a year-on-year decrease of 18.4% [13] - Cumulative sales from January 1 to July 11, 2025, reached 54.9 million square meters, down 5.2% year-on-year [13] 2.2. Land Market Conditions - The report notes a significant decrease in land supply, with a 40.6% drop in building area supplied in the week of July 7-13, 2025 [40] - The average land price per square meter was reported at 1506 RMB, reflecting a 2.7% increase week-on-week [45] 2.3. Real Estate Financing Conditions - In the week of July 7-13, 2025, real estate companies issued a total of 24 credit bonds amounting to 21.68 billion RMB, marking a 111.6% increase week-on-week [51] - The net financing amount for the week was reported at 2.48 billion RMB [51] 5. Investment Recommendations - For real estate development, recommended companies include China Resources Land, Poly Developments, and Binjiang Group, with a focus on companies with strong shareholder backing [8] - In property management, recommended companies include China Resources Vientiane Life, Greentown Service, and Poly Property [8] - For real estate brokerage, the report recommends Beike and suggests paying attention to Wo Ai Wo Jia [9]