Core Viewpoint - Yongor is strategically divesting financial assets, with significant sales amounting to 4.175 billion yuan, representing 10.13% of the audited net assets as of the end of 2024 [1] Financial Performance - In 2024, Yongor reported total revenue of 14.188 billion yuan, a year-on-year increase of 3.19%, while net profit decreased by 19.41% to 2.767 billion yuan [1] - The company has experienced a decline in net profit for four consecutive years since 2021, with a 15.13% decrease in net profit excluding non-recurring items [1] - Cash recovery from financial investments reached 1.796 billion yuan in 2024, with investment business net profit at 2.209 billion yuan, accounting for approximately 97.7% of total net profit [2] Investment Portfolio - As of the end of 2024, Yongor's financial assets measured at fair value totaled 11.388 billion yuan, with stock investments amounting to 8.829 billion yuan [2] - The company holds shares in various listed companies, including CITIC Limited, CITIC Bank, and others, with cumulative fair value changes for these stocks showing significant losses [2] Business Segments - The fashion segment generated revenue of 6.799 billion yuan in 2024, with a net profit of 431 million yuan, reflecting declines of 6.94% and 43.90%, respectively [3] - The main brand, YOUNGOR, accounted for 90.46% of the fashion segment's revenue, totaling 5.187 billion yuan [3] - In the real estate sector, Yongor reported a pre-sale revenue of 3.331 billion yuan, a decline of 69.03%, while recognized revenue increased by 16.20% to 7.471 billion yuan [3] Recent Trends - In Q1 2025, Yongor's revenue was 2.795 billion yuan, down 15.6% year-on-year, with net profit and net profit excluding non-recurring items decreasing by 13.33% and 12.88%, respectively [3]

Group 1 - The Central Bank of Taiwan has requested foreign investors to withdraw speculative bets on the New Taiwan Dollar (TWD) through ETFs, indicating a crackdown on such activities [1] - The strategy employed by foreign investors involves buying both Taiwanese stock ETFs and inverse ETFs, which allows them to profit from market declines while betting on the appreciation of the TWD [1][2] - The holdings of foreign investors in Taiwan's largest inverse stock ETF have surged to 914.7 million shares, an increase of over 90 times since the beginning of the year [2] Group 2 - The TWD has appreciated by 12% against the US dollar this year, with a significant single-day increase recorded last month, the largest since 1980, posing risks to the export-oriented economy [2] - A regulatory framework exists to limit speculative behavior by foreign investors, requiring that their holdings in any single inverse ETF remain below 30% to prevent currency manipulation [5] - The Central Bank can influence onshore banks through "window guidance," but has limited direct control over offshore investors [5]

Group 1 - AIC serves as a "national team" capital, effectively addressing the issues of "lack of long-term funds" and "insufficient resources" in industrial development by guiding financial capital towards technology enterprises, providing stable capital support for technological innovation, traditional industry upgrades, and new industry cultivation [2] - Jinan City has implemented the AIC equity investment pilot as a key breakthrough for financial reform and innovation, focusing on strategic emerging industries and key core technologies, ensuring the pilot fund's establishment and implementation [2][3] - As of October 25, 2024, five major AIC funds signed agreements with Jinan City, with an initial scale of 5 funds totaling 5 billion yuan, marking the establishment of the first AIC equity investment fund in Shandong Province [3] Group 2 - The establishment of the Zhongyin AIC fund, with a total scale of 1 billion yuan, aims to serve Shandong Province's "ten strong industries" through diversified funding aggregation and market-oriented operations [3] - The Construction Bank AIC special fund was successfully established on May 29, 2025, with a scale of 122 million yuan, targeting a mixed-ownership reform project of a state-owned enterprise in Jinan, focusing on hard technology and industrial chain enhancement [3][4] - A total of 195 high-quality projects with equity financing needs have been selected for the investment project pool, with over 30 projects included in the AIC's key investment list, covering fields such as new generation information technology and artificial intelligence [5] Group 3 - Regular investment and financing matching activities are conducted to promote deep integration of capital and industry, with 7 sessions held for AIC roadshows and site inspections, facilitating communication between over 40 enterprises and AIC [6] - Jinan City aims to leverage its inclusion in the provincial "good financial products" case to attract more patient capital into the real economy, continuously optimizing support for the construction of a strong provincial capital [6]

Core Viewpoint - The company, Youngor, is strategically divesting financial assets to refocus on its core apparel business, which has faced declining performance in recent years [1][2]. Group 1: Financial Asset Sales - Youngor has sold financial assets including shares in CITIC Securities and CITIC Bank, totaling 4.175 billion yuan, which represents 10.13% of its audited net assets as of the end of 2024 [1]. - The company has a history of profitable divestitures, with significant gains from selling shares in CITIC Securities and other financial entities between 2007 and 2021, contributing to a substantial portion of its net profit [1]. Group 2: Return to Apparel Business - In late 2023, Youngor officially announced its return to the apparel sector, changing its name from Youngor Group to Youngor Fashion, and focusing on the fashion industry [2]. - The company has made several acquisitions to expand its fashion segment, including a 40% stake in the American brand UNDEFEATED and a full acquisition of Intime Retail for 7.4 billion yuan [2]. Group 3: Performance Challenges - Youngor's apparel business has struggled, with a reported revenue of 27.67 billion yuan in 2024, down over 4 billion yuan compared to 2020, marking four consecutive years of decline [2]. - In Q1 2025, the company reported a revenue of 2.79 billion yuan, a 15.6% decrease year-on-year, and a net profit of 803 million yuan, down 13.3% [3]. - The fashion segment showed slight growth in Q1 2025, with revenue increasing by 8.27% to 1.998 billion yuan, but net profit decreased by 32.7% [3].

Core Viewpoint - The company is undergoing a significant strategic transformation by divesting financial assets to focus on its core fashion business, which has been underperforming recently [1][7]. Financial Asset Divestiture - The company announced the sale of financial assets, including shares in CITIC Securities and CITIC Bank, totaling approximately 4.175 billion yuan, which accounts for 10.13% of its net assets as of the end of 2024 [3][6]. - The divestiture is part of a broader strategy to optimize its investment structure and gradually exit financial investments, as authorized by the shareholders' meeting [7][8]. Performance of Core Business - The company's apparel business saw a net profit decline of 43.9% in 2024, with significant drops in sales of key products such as shirts and suits, down 14.69% and 18.27% respectively [1][11]. - The real estate segment also faced challenges, with pre-sale revenue plummeting by 69.03% [1][12]. Investment in Fashion Industry - The company has made substantial investments in the fashion sector, spending over 9 billion yuan in six months, including a 7.4 billion yuan acquisition of Intime Retail and a 1.53 billion yuan purchase of the French luxury children's brand Bonpoint [1][7]. - The fashion portfolio now includes various brands across different segments, indicating a strategic pivot towards fashion [7]. Financial Health and Future Outlook - Despite the divestiture, the company still has potential for further sales of financial assets, with an estimated remaining capacity of around 4.6 billion yuan based on its financial structure [8]. - The company's net profit has been on a downward trend, dropping from 7.236 billion yuan in 2020 to 2.767 billion yuan in 2024, indicating ongoing financial challenges [11].

Group 1 - The core finding of the Fidelity International survey indicates that nearly half (45%) of investors in the Asia-Pacific region intend to increase their stock investments in the next 12 months, while Hong Kong investors prefer to maintain their current stock allocations, with a quarter planning to reduce investments this year [1][2] - Among investors who reduced their US stock allocations, over half (56%) have shifted their funds to local markets, particularly Chinese mainland investors (67%), while 73% of Hong Kong investors have redirected their investments to mainland and Hong Kong markets [1] - The survey, conducted across six Asia-Pacific markets, reveals that 43% of respondents have increased their savings year-to-date, with 39% increasing their investments, and stocks (67%) remain the most favored financial product in the region, followed by time deposits (60%) and insurance (57%) [1] Group 2 - The survey shows that 23% of Asia-Pacific investors have reduced their US stock allocations year-to-date, while another 23% have increased their allocations in response to market conditions, and 54% have maintained their US stock allocation [2] - A total of 39% of investors in the region are optimistic about the stock market outlook, expecting moderate gains in the next 12 months, with Australian (69%) and Chinese mainland (50%) investors being particularly optimistic [2] - In terms of investment expectations, Asia-Pacific investors anticipate an average return of 6.5% over the next 12 months, which is more than double the year-to-date market return of 3.2% [3]

Core Viewpoint - The company has authorized its management to dispose of financial assets based on market conditions, with a focus on adjusting its investment structure, following the approval at the 2024 annual shareholders' meeting [1] Group 1: Financial Asset Disposal - The company sold financial assets including CITIC shares, CITIC Bank, Boqian New Materials, and Shangmei Shares, with the cumulative transaction amount exceeding the disclosure threshold of 10% of the latest audited net assets and absolute amount over 10 million [1] - The authorization for management to handle these disposals is valid from the date of the 2024 annual shareholders' meeting until the 2025 annual shareholders' meeting [1] Group 2: Financial Reporting Standards - The company has been implementing the new financial instrument standards since January 1, 2019, categorizing CITIC shares and other financial assets as "measured at fair value with changes recognized in other comprehensive income," meaning their value fluctuations do not impact current profit and loss [2] - Only dividend income from these financial assets can affect current investment income and thus current profit and loss [2]

Core Viewpoint - The escalation of the Israel-Iran conflict introduces a new phase of geopolitical risk, which is expected to negatively impact Asian risk assets due to their sensitivity to rising energy prices [1] Group 1: Geopolitical Risks - The U.S. bombing of Iranian nuclear facilities marks a significant escalation in the Israel-Iran conflict [1] - Direct U.S. involvement may prolong tensions in the region, increasing the risk of supply disruptions [1] Group 2: Economic Implications - A prolonged conflict could exacerbate inflationary pressures and drag down growth expectations across Asia [1] - The likelihood of a swift resolution to the conflict has diminished, prompting investors to reassess market risks [1] Group 3: Market Reactions - Anticipation of increased geopolitical instability and high oil prices may lead to a flight to safety, with a stronger demand for the U.S. dollar [1] - Asian risk assets are expected to weaken as a result of these market dynamics [1]

Core Viewpoint - The listing of Drip Irrigation Investment marks the beginning of a new investment paradigm focused on cash flow-based investing, providing diverse opportunities for investors while supporting small and micro enterprises [1][4]. Group 1: Company Overview - Drip Irrigation Investment has submitted a listing application to the Hong Kong Stock Exchange, with HSBC as its sole sponsor, indicating the start of its listing journey [1]. - The company was established on May 23, 2025, in the Cayman Islands, with an initial authorized share capital of 3 billion shares [3]. - Drip Irrigation Investment is a closed-end investment company that has not yet commenced operations or business activities [3]. Group 2: Investment Strategy - The company focuses on three major market opportunities: 1. Asset-Based Cash Rights, providing liquidity to private equity and venture capital investors [5]. 2. Business-Based Cash Rights, supporting the development of the real economy without diluting equity [5]. 3. Corporate-Based Cash Rights, aiding early-stage entrepreneurs with essential capital to avoid failures due to funding shortages [5]. Group 3: Financial Performance and Projections - As of June 20, 2025, Drip Irrigation has raised a cumulative financing amount of 5.545 billion Macanese Patacas and a cumulative income-sharing amount of 3.413 billion Macanese Patacas [3]. Group 4: Listing Methodology - Drip Irrigation Investment plans to list under the rare Chapter 21 of the Hong Kong listing rules, which allows companies without a specific main business to apply for listing, focusing on the rationality of investment strategies and internal controls [7]. - The company’s listing documents are available only in English, and it has not disclosed specific performance data in its prospectus [7]. Group 5: Market Impact - If successful, the listing will standardize and systematize the allocation of funds to diverse asset classes that traditional debt and equity markets cannot effectively reach, injecting non-dilutive capital into the real economy [8].

Summary of Key Points Core Viewpoint - The company has authorized its management to dispose of financial assets not exceeding 800 million yuan to optimize its asset structure and increase liquidity without affecting normal operations [1][2]. Transaction Overview - The company will manage the disposal of financial assets based on market conditions, with a maximum limit of 800 million yuan authorized for a period of 12 months from the board's approval date [1]. - As of May 31, 2025, the total market value of the company's financial assets, including stocks and funds, is approximately 2.267 billion yuan [2]. - The authorized disposal amount does not exceed 30% of the company's audited total assets for the year 2024 [2]. - The transaction does not constitute a related party transaction or a significant asset restructuring as defined by regulations [2]. Impact on the Company - The authorization aims to positively adjust the structure of financial assets, enhancing liquidity without impacting the company's normal production and operations [2]. - The company will account for the disposal of financial assets according to relevant accounting standards, with gains or losses from stock disposals recorded in retained earnings and those from fund disposals recorded in current profits and losses [2].