Core Insights - A total of 26 financing events were disclosed on June 23, 2025, involving 25 domestic companies and 1 foreign company, with a total financing amount of approximately 5.145 billion RMB [2] - The enterprise service sector had the highest number of financing events, while the automotive mobility sector had the highest financing amount [2] - In the low-carbon sector, there were 4 financing events involving 4 domestic companies, with a total financing amount of about 440 million RMB [2] Low-Carbon Sector Summary - One company was acquired: Xin Cheng Hang Rui, a metal forging manufacturer based in Chongqing, China [2] - Zhan Ding Materials completed a Series A financing round of 200 million RMB, ranking in the top 20% of all Series A financing this year, with investors including Trend Capital, Eight Billion Space, Sequoia Capital China, Yangtze Innovation Investment, Qianhai Dingfeng Investment, and Houxue Capital. The company is based in Jiangsu, China, and provides solutions in the fluorine industry [2] - Kunshan Meimiao Environmental Technology secured tens of millions in Series A financing from Silicon Port Capital. The company, also based in Jiangsu, specializes in biochemical wastewater treatment technology services [2] - Rouhe Technology completed tens of millions in angel round financing, ranking in the top 20% of all angel round financing this year, with investors including Shenzhen Jingxing Investment Management Co., Ltd., Zhenhai Industrial Fund, and Xintang An Energy. The company is based in Zhejiang, China, and focuses on the research and development of new energy materials [2]

Group 1 - The core viewpoint of the article highlights the significant growth in IPO activities in A-shares, particularly in the industrial, technology, and materials sectors, which are leading in both quantity and fundraising amounts [4][5] - In the first half of 2025, A-shares saw 50 companies go public, raising over 37.1 billion RMB, marking a 14% year-on-year increase in both IPO numbers and fundraising [4] - The Hong Kong IPO market has shown a remarkable recovery, with approximately 40 companies expected to go public, raising around 1,087 million HKD, representing a 33% increase in quantity and a 711% increase in fundraising compared to the previous year [7] Group 2 - The report indicates that the North Exchange has seen a significant increase in average fundraising amounts, reflecting its growing appeal to high-quality innovative SMEs, transitioning from a platform for small and micro enterprises to a hub for hard technology companies [5] - The article anticipates a new normal of rhythmical issuance for A-share IPOs, focusing on high-quality technology companies that meet listing criteria, influenced by macroeconomic conditions and market funds [5] - The introduction of the "Tech Company Special Line" in the Hong Kong market aims to facilitate the listing process for technology and biotech companies, enhancing financing efficiency and reducing compliance costs [7]

Core Viewpoint - The recent policy document titled "Opinions on Deepening Reform and Innovation in Shenzhen Comprehensive Reform Pilot" allows companies listed in Hong Kong from the Guangdong-Hong Kong-Macao Greater Bay Area to return and list on the Shenzhen Stock Exchange [1] Group 1: Policy Implications - The policy aims to enhance the financial services for the real economy and supports Shenzhen in conducting integrated financial pilot projects for technology industries [1] - It emphasizes the establishment of a robust credit and financing mechanism for technology enterprises, including credit for technology firms and the securitization of intellectual property [1] - The document also encourages the investment of insurance funds in private equity and venture capital funds targeting specific sectors initiated in Shenzhen [1] Group 2: Listing Conditions - Shenzhen Stock Exchange has set two standards for red-chip companies already listed overseas to qualify for a secondary listing: 1. Market capitalization of no less than 200 billion yuan 2. Market capitalization above 20 billion yuan with strong independent R&D and competitive advantages in the industry [4][7] - The Growth Enterprise Market currently only applies to red-chip companies that are not listed overseas [5] Group 3: Potential Companies - As of June 12, 2025, there are 1,583 Hong Kong-listed companies registered in the Guangdong-Hong Kong-Macao area, with 101 companies having a market capitalization above 20 billion yuan [8] - These companies span various sectors, including healthcare, information technology, telecommunications, consumer goods, finance, and utilities, featuring major players like Tencent Holdings and Xpeng Motors [8] - A list of potential companies that meet the criteria for listing on the Shenzhen Stock Exchange includes Tencent Holdings (market cap: 43,569 billion yuan), BYD Electronics (670 billion yuan), and several healthcare firms such as CSPC Pharmaceutical Group (931 billion yuan) [9][10]

Group 1 - In Q1 2025, China's primary market saw 1,843 financing events, a decrease of 290 events (14%) from the previous quarter and 994 events (35%) year-on-year [1][5] - The total disclosed financing amount reached 88.867 billion RMB, down by 50.768 billion RMB (36%) from the previous quarter and 179.385 billion RMB (67%) year-on-year [1][5] - The most popular financing sectors included intelligent manufacturing (453 events), artificial intelligence (267 events), and healthcare (251 events), with intelligent manufacturing experiencing a significant decline of 15% from the previous quarter [1] Group 2 - The top five regions for financing events were Jiangsu (322), Guangdong (301), Beijing (270), Shanghai (212), and Zhejiang (211) [2][15] - The distribution of financing events by stage showed early-stage events at 1,421 (77.1%), growth-stage at 362 (19.64%), and late-stage at 60 (3.26%) [3][17] - In terms of disclosed financing amounts, early-stage accounted for 571.75 billion RMB (65.19%), growth-stage for 213.82 billion RMB (24.38%), and late-stage for 91.54 billion RMB (10.43%) [17] Group 3 - In Q1 2025, there were 107 new large financing events globally, with China contributing 16 events, representing 15% of the global total [4][22] - A total of 65 Chinese companies completed IPOs, a decrease of 16% from the previous quarter but an increase of 20% year-on-year, raising a total of 31.044 billion RMB [41][42] - The number of mergers and acquisitions (M&A) events in China was 96, down 45% from the previous quarter and 53% year-on-year, with a disclosed total amount of 9.309 billion RMB [51] Group 4 - The top five industries for financing events accounted for 1,237 events (67% of total), including intelligent manufacturing, artificial intelligence, healthcare, materials, and enterprise services [8][11] - The leading sectors for disclosed transaction amounts were also intelligent manufacturing, artificial intelligence, healthcare, materials, and automotive transportation, totaling 74.271 billion RMB (84% of total) [11] - The most active VC/PE institutions included Qiji Chuangtan (26 events), Shenzhen Capital Group (25 events), and Hefei Guoyao Capital (22 events) [34][35]

Core Viewpoint - Morgan Stanley's report indicates that despite policy tightening pressures in the first half of 2025, the U.S. stock market is expected to enter a more optimistic scenario in the second half of 2025 and into 2026 [1] Economic Outlook - The firm does not foresee a recession but anticipates seven interest rate cuts in 2026, which will support above-average valuations [1] - The S&P 500 index target price is set at 6,500 points for the next 12 months, corresponding to an earnings per share (EPS) of $302 and a forward price-to-earnings (P/E) ratio of 21.5 times [1] - Projected EPS for 2025 is $259 (7% growth), for 2026 is $283 (9% growth), and for 2027 is $321 (13% growth) [1] Industry Allocation - **Overweight Sectors**: Financials, Energy, and Utilities are rated as overweight. The financial sector is expected to see a recovery in M&A and capital market transactions by 2028, with potential for accelerated stock buybacks due to regulatory easing [3] - The energy sector is linked to oil price movements, with geopolitical tensions potentially disrupting supply and raising prices. The sector's free cash flow (FCF) margins are significantly above historical averages [3] - Utilities historically perform well in late-cycle phases due to their defensive characteristics and are expected to benefit from rising interest rates and energy capacity concerns [3] Neutral Sectors - Technology, Healthcare, Communication Services, Materials, Real Estate, and Industrials are maintained at neutral. The technology sector shows significant internal differentiation, with AI-related stocks performing well, while hardware faces challenges from weak consumer demand [4] Underweight Sectors - Consumer Discretionary and Consumer Staples are rated for reduction due to poor pricing power and tariff risks. The consumer products sector faces significant cost pressures, with tariffs impacting EBITDA margins by 10% to 70% [4]

Core Viewpoint - The A-share market experienced a mixed performance in May, with the Shanghai Composite Index rising by 2.9%, the Shenzhen Component increasing by 1.42%, and the ChiNext Index up by 2.32%. Various brokerages have released their investment recommendations for June, focusing on sectors such as consumption, energy, technology, and finance [1]. Group 1: Recommended Stocks - Multiple brokerages have recommended stocks across various sectors, including: - Guotai Junan: Microchip Biotech, Xiechuang Data, Lihigh Food, Huhua Electric, Tianzhun Technology [2] - Caifeng Securities: Huayang International, Ruipu Biotech, Chongqing Rural Commercial Bank [2] - Other notable mentions include Qingdao Beer, Juhua Co., and Top Group, with several stocks receiving multiple recommendations [2][4]. Group 2: Most Frequently Recommended Stocks - The stocks receiving the most recommendations from brokerages include: - Yaji International and Qingdao Beer, each recommended by three brokerages [4]. - Dongpeng Beverage, Wanma Technology, Juhua Co., and Huhua Electric, each recommended by two brokerages [4]. - Wanma Technology saw the highest increase in May, rising over 13% to a closing price of 38.33 yuan [4]. Group 3: Preferred Sectors - Brokerages suggest focusing on sectors likely to experience upward movement, including technology, consumer goods, and large financials, as well as petrochemical, chemical, and non-ferrous cyclical sectors [6]. - China Bank Securities emphasizes three main investment lines: consumption, technology, and dividends, highlighting the growth potential in the technology sector supported by policy and industry development [6][7]. - ZheShang Securities recommends shifting focus from high-performing technology sectors to underperforming large financials and dividend stocks to manage portfolio risk [6]. Group 4: Investment Strategies - Donghai Securities outlines three main strategies for June: 1. Long-term focus on domestic demand and technology [7]. 2. Short-term emphasis on consumption over investment, particularly in sectors benefiting from fiscal stimulus and urban renewal [7]. 3. Balanced allocation strategy, suggesting to buy undervalued sectors like petrochemical, chemical, and non-ferrous metals [8].

致同香港咨询主管合伙人汤飈表示，香港上市公司的交易量于今年首季下滑，预示今年商业活动前景可 能转趋审慎。在地缘政治风险及特朗普政府关税政策引发的全球市场不确定性影响下，香港上市公司对 投资采取更为保守的策略。许多企业正通过剥离非核心业务来确保核心运营资金充裕，以期在日益波动 的市场环境中充分应对行业挑战，同时尽量降低全球风险敞口。 他指出，展望2025年，反垄断与数据私隐审查趋严，叠加美国关税政策及地缘政治不稳定因素，预计将 导致尽职调查流程更趋复杂、审核周期延长、交易估值波动加剧，并抑制跨境交易活动。因此该行预计 2025年全年企业买卖交易宗数可能较去年录得单位数跌幅。不过，若年中迎来利率下调，将改善市场流 动性并降低融资成本，为下半年交易市场带来利好，或可提振下半年交易动能。 智通财经APP获悉，致同(香港)会计师事务所最新发表《买卖协议研究报告2025》显示，香港上市公司 的买卖协议活动在2025年初显现放缓迹象，首季交易量从2024年同期的67宗下降约24%至51宗。致同预 期，2025年全年企业交易宗数或录得单位数跌幅，反映市场观望情绪持续升温。 报告显示，2024年香港上市公司的买卖协议宗数较20 ...

Global Economic Outlook - Citigroup economists predict that global economic growth will slow from 2.8% in 2024 to 2.3% in 2025 due to the impact of tariffs, with the full effects expected to manifest in the second half of this year [1] - Goldman Sachs forecasts that inflation caused by tariffs will likely not persist for long, as the U.S. economy is entering a weaker state compared to the inflationary periods of 2021 and 2022 [1] - John Hardy from Saxo Bank warns that the U.S. Treasury should monitor risks in the Japanese government bond market, as Japan's debt situation is becoming more severe [1] Japanese Yen and Bond Market - Mitsubishi UFJ analysts suggest that the depreciation of the yen may still have room to continue, despite recent declines in long-term Japanese government bond yields [2] - Analysts from Bank of America indicate that the Bank of Japan is unlikely to address the supply-demand imbalance in the long-term bond market, continuing to reduce bond purchases until March 2026 [3] - State Street Global Advisors describes the challenges in the Japanese bond market as "technical" rather than "structural," suggesting that these issues can be resolved through adjustments in issuance [4] Chinese Aviation and Energy Sector - China International Capital Corporation (CICC) reports that the significant drop in oil prices this year is expected to improve the cost structure for airlines, with a solid foundation for the aviation cycle to start [5] - CICC also highlights opportunities in the diesel generator sets and large-bore engines used in data centers, driven by high demand for AI infrastructure [6] Consumer Goods and Pet Industry - Huatai Securities emphasizes the potential for recovery in the consumer sector, particularly in the food and beverage industry, as consumption trends improve [7] - Huaxi Securities projects that China's pet industry could reach a market size of 478.7 billion yuan by 2030, with a compound annual growth rate (CAGR) of 6.9% from 2024 to 2030 [8] Investment Strategies in Materials and Energy - CITIC Securities outlines three investment themes in the materials sector, focusing on policy-driven themes, high certainty growth from industry prosperity, and innovation in products and technologies [9] - The same report suggests that the second half of 2025 will see a complex price trend in commodities due to U.S. tariff policies, recommending a focus on "hedging" and "supply disruptions" [10] Economic Projections - CITIC Securities anticipates a potential bull market for Chinese equity assets starting in the fourth quarter of 2025, driven by synchronized economic and policy cycles across major economies [11] - The firm also predicts that the economic landscape will exhibit characteristics of strong production, recovering investment, stable consumption, and resilient exports [12]

Group 1 - The recent strengthening of the RMB exchange rate is attributed to two main factors: the depreciation of the USD and the implementation of proactive domestic macroeconomic policies [3] - The USD index has shown a downward trend this year, dropping over 8% from a high of 109 to below 100 [3] - Future RMB exchange rate movements are expected to be influenced by the progress of China-US trade talks and the USD exchange rate [3] Group 2 - Goldman Sachs predicts that the appreciation of the RMB will benefit the Chinese stock market, with an expected improvement in corporate earnings and increased foreign capital inflow [4] - The report estimates that the RMB/USD exchange rate could reach 7.20, 7.10, and 7.00 in the next 3, 6, and 12 months, respectively, indicating a potential 3% appreciation over the next year [4] - Other foreign institutions, such as UBS, also express optimism about the Chinese stock market, noting that the MSCI China Index is undervalued compared to historical averages [5]

Summary of Key Points Core Insights - In April 2025, China's primary market saw 632 financing events, a 4% increase from the previous month but a 26% decrease year-on-year. The total disclosed financing amount reached 27.045 billion RMB, up 34% month-on-month but down 20% year-on-year [2][3]. Financing Events - The top industries for financing events were smart manufacturing (176 events), healthcare (85 events), and artificial intelligence (79 events), with smart manufacturing showing a significant month-on-month increase of 21% [2][5]. - The leading regions for financing events included Jiangsu (106 events), Guangdong (94 events), Shanghai (88 events), Zhejiang (80 events), and Beijing (75 events) [11][13]. - The distribution of financing events by stage showed early-stage investments dominating with 497 events (78.64%), followed by growth stage with 107 events (16.93%) and late stage with 28 events (4.43%) [15]. IPO Activity - In April 2025, 23 Chinese companies completed IPOs, a decrease of 8% from the previous month but an increase of 44% year-on-year. The total amount raised was 10.304 billion RMB, down 43% month-on-month but up 98% year-on-year [29][30]. - The majority of IPOs were in traditional industries (7 companies), followed by consumer (3), smart manufacturing (2), automotive (2), and finance (2) [32]. M&A Activity - There were 15 M&A events in April 2025, a significant decrease of 53% from the previous month and 85% year-on-year. The total disclosed amount was 454 million RMB, down 60% month-on-month and 99% year-on-year [37][38]. - The top industries for M&A events included logistics and warehousing, finance, traditional industries, energy and power, and enterprise services, with finance leading in transaction value at 300 million RMB [38]. Global Financing Trends - Globally, there were 41 new large financing events in April 2025, with China contributing 9 events, accounting for 22% of the total. The disclosed financing amount from China was 13.385 billion RMB, representing 4% of the global total [18]. - No new unicorns were added in China during this month, while globally, 5 new unicorns were reported [23].