Core Viewpoint - Goldman Sachs is expanding in the rapidly growing asset management sector by acquiring Innovator Capital Management for approximately $2 billion in cash and stock, with the deal expected to close in the second quarter of 2026 [1] Group 1: Acquisition Details - The acquisition involves cash and stock valued at around $2 billion [1] - Key executives from Innovator, including co-founder and CEO Bruce Bond, will join Goldman Sachs Asset Management [1] - An additional 60 employees from Innovator are expected to integrate into Goldman Sachs' third-party wealth management and ETF teams [1] Group 2: Innovator's Performance - As of September 30, 2025, Innovator manages 159 outcome-oriented ETFs with an asset size of $28 billion, focusing on income, buffer, and growth strategies [1] - The shift towards active management has been driven by declining returns from passive index products due to tightening monetary policies [1] Group 3: Market Trends - The global active management ETF asset size has reached $1.6 trillion, growing at a compound annual growth rate of 47% since 2020 [2] - Goldman Sachs CEO David Solomon highlighted that active ETFs are a vibrant and transformative segment, representing one of the fastest-growing areas in public investment today [2]

Core Viewpoint - The 2025 Shanghai Stock Exchange International Investor Conference highlighted the investment and merger opportunities in China's capital market from the perspective of international investors [1] Group 1: Policy Impact - Since the implementation of a comprehensive financial policy package on September 24, 2024, the A-share market has experienced significant growth, with major indices achieving substantial increases [3] - The policies introduced are based on a deep understanding of the issues that need to be addressed, rather than calls for large-scale fiscal stimulus [3] - The recently released "14th Five-Year Plan" outlines a clear roadmap for China's next stage of development, emphasizing a commitment to high-quality growth and prioritizing investments in people's livelihoods [3] Group 2: Capital Market Reforms - High-quality development and openness are key principles reflected in China's capital market reforms, aimed at enhancing the quality of listed companies and protecting small investors [4] - The comprehensive reform plan for the public fund industry established by the China Securities Regulatory Commission is expected to improve investor returns and enhance long-term stability and public trust [5] Group 3: Investment Opportunities - The slogan "Investing in China is investing in the future" is increasingly relevant for global investors, as the Chinese stock market is expected to show greater stability and lower volatility [5] - Recent trading activities in the Chinese market have been driven by index funds and ETFs, indicating a shift towards more efficient market dynamics [5] - The introduction of actively managed ETFs in China is seen as a timely opportunity to enhance liquidity and differentiation in the capital market [5] Group 4: Long-term Perspective - Morgan Asset Management has maintained a strategic focus on China for 20 years, managing over 240 billion RMB in client assets [6] - Concerns among global investors about missing investment opportunities in the A-share market are viewed as misplaced, as the long-term narrative of China's growth remains strong [6]

Core Insights - The public fund industry is approaching a total scale of 37 trillion yuan, highlighting the need for high-quality development and effective service to the real economy [1][4][6] - The forum emphasized the importance of collaboration among various stakeholders, including regulators, fund companies, and financial institutions, to address industry challenges and promote sustainable growth [1][2][3] Group 1: Forum Highlights - The forum gathered over 80 executives from fund companies and financial institutions, facilitating direct dialogue between policymakers and company decision-makers [1][2] - Key industry pain points discussed included unreasonable performance benchmarks, fund fee reductions, lack of long-term incentive mechanisms, talent retention issues, and compliance shortcomings [1][2] - The forum provided actionable insights on building governance structures that align with new regulations and embedding long-term investment principles within organizations [1][2] Group 2: Regulatory Perspectives - Regulatory representatives expressed expectations for the healthy development of the public fund industry, emphasizing the need for proactive actions within the entire ecosystem [2][3] - The ETF market in China has seen significant growth, with a market size exceeding 5.62 trillion yuan, positioning it as the largest in Asia [2][3] Group 3: Industry Trends - The global ETF market has surpassed 18 trillion USD, with a notable shift towards actively managed ETFs, which are becoming a new growth engine [9][10][12] - China's ETF market has grown approximately sevenfold since 2019, yet it still represents only 5% of the total stock market capitalization, indicating substantial growth potential [10][12] Group 4: Strategic Initiatives - The establishment of the "Evergreen Think Tank" aims to create an open research platform to provide strategic support for the industry [2][31] - The forum highlighted the necessity for the public fund industry to enhance its research capabilities and focus on long-term value investment to align with national economic goals [31][32]

Core Insights - The Hong Kong ETP market is experiencing significant growth, projected to be a breakthrough year in 2025, with a year-on-year asset management increase of 34.1%, reaching HKD 653.5 billion [2][3] Group 1: Market Performance - As of September 2025, the average daily trading volume in the Hong Kong ETP market reached HKD 37.8 billion, a 146% increase year-on-year, making it the third-largest ETP market globally, surpassing South Korea and Japan [2][3] - The turnover rate in the Hong Kong ETP market is leading globally, with a liquidity ratio of 14.7 as of 2025, up from 10.2 in 2024 and 9.0 in 2023 [3] Group 2: Product Innovation - The introduction of individual stock leveraged and inverse products in March 2025 has catered to retail investor needs, providing strategic investment tools for trading international equities during Asian hours [3] - The popularity of covered call option ETFs has increased since their launch in February 2024, appealing to investors seeking high-yield products in an unstable macro environment [4] Group 3: Cross-Border Trading - The average daily trading volume for ETFs through the Shanghai-Hong Kong Stock Connect and Shenzhen-Hong Kong Stock Connect reached HKD 4.2 billion and HKD 3.2 billion respectively, with significant year-on-year increases of 128% and 142% [5] - The anticipated inclusion of more ETFs in the Stock Connect program in November 2025 is expected to further enhance cross-border trading activity [5] Group 4: Sector Focus - In the first three quarters of 2025, 14 technology-themed ETFs were launched in Hong Kong, with a total asset management size of HKD 120.1 billion, reflecting a 102% year-on-year increase [5] - The biotechnology sector has also seen growth, with three biotechnology-themed ETFs launched this year, totaling HKD 3.4 billion in assets, a 123% increase from September 2024 [5] Group 5: Active ETFs - The inflow of funds into active ETFs in Hong Kong reached USD 183 billion in the first half of 2025, driven by strong market rebounds and robust company earnings [6] - Asset management firms are accelerating the launch of more active products to meet investor demand for results-oriented and yield-focused strategies [6]

Core Insights - The Hong Kong ETP market is experiencing significant growth in 2025, becoming the third-largest globally, surpassing South Korea and Japan, with an asset management scale of HKD 653.5 billion, reflecting a year-on-year increase of 34.1% [2] Group 1: Market Performance - As of September 2025, the average daily trading volume in the Hong Kong ETP market reached HKD 37.8 billion, a year-on-year increase of 146%, making it the third-highest globally [3] - The turnover rate of the Hong Kong ETP market is the highest in the world, achieving a turnover ratio of 14.7, up from 10.2 in 2024 [4] Group 2: Product Innovation - The launch of the first individual stock leveraged and inverse products in Asia in March 2025 has attracted retail investors, with an average daily trading volume of HKD 3.6 billion for these products, a 51% increase year-on-year [5] - The introduction of covered call ETFs has gained popularity, with total assets reaching HKD 8.6 billion, a year-on-year increase of over 32 times, and average daily trading volume rising nearly 77 times to HKD 132.2 million [5][6] Group 3: Cross-Border Trading - The average daily trading volume of ETFs through the Stock Connect programs reached HKD 4.2 billion and RMB 3.2 billion, reflecting year-on-year increases of 128% and 142%, respectively [7] - The number of eligible ETFs for trading through Stock Connect has reached 290, indicating a growing trend in cross-border ETF trading [7][8] Group 4: Sector Focus - The technology-themed ETFs have seen a total asset management scale of HKD 120.1 billion, a year-on-year increase of 102%, with average daily trading volume of HKD 7.4 billion, up 247% [9] - The biotechnology ETFs have also shown growth, with total assets reaching HKD 3.4 billion, a 123% increase year-on-year [9] Group 5: Global Connectivity - The listing of ETFs tracking the Nasdaq 100 index and the first Saudi Islamic bond ETF in Hong Kong has enhanced investment opportunities and strengthened financial ties with the Middle East [10] Group 6: Active ETFs - Active ETFs have gained traction, with inflows reaching USD 183 billion in the first half of 2025, and the number of active ETFs in Hong Kong has increased to 31, with a total market value of HKD 23.7 billion, a 143% year-on-year growth [11]

Core Insights - The Hong Kong ETP market is experiencing significant growth, becoming the third-largest market globally by trading volume as of September 2025, surpassing South Korea and Japan [1][2] - The asset management scale has increased by 34.1% year-on-year, reaching HKD 653.5 billion [1] Group 1: Trading Volume and Turnover - As of September 2025, the average daily trading volume in the Hong Kong ETP market reached HKD 37.8 billion, a 146% year-on-year increase, making it the third-highest globally [2] - The turnover rate in the Hong Kong ETP market has risen to 14.7, establishing its leading position worldwide [2] Group 2: Product Innovation - The launch of the first individual stock leveraged and inverse products in Asia in March 2025 has catered to retail investors' needs, particularly for trading high-liquidity stocks like NVIDIA and Tesla [3] - The average daily trading volume for all leveraged and inverse products listed in Hong Kong reached HKD 3.6 billion, a 51% increase year-on-year [3] Group 3: Cross-Border Trading - The average daily trading volume for ETFs traded through the Stock Connect programs reached HKD 4.2 billion and RMB 3.2 billion, reflecting year-on-year increases of 128% and 142%, respectively [5] - A total of 290 ETFs are eligible for trading through the Stock Connect, indicating a growing cross-border trading environment [5] Group 4: Sector Focus - The technology-themed ETFs have seen a total asset management scale of HKD 120.1 billion, a 102% increase year-on-year, with an average daily trading volume of HKD 7.4 billion [7] - The biotechnology ETFs have also gained traction, with a total asset management scale of HKD 3.4 billion, marking a 123% increase from the previous year [7] Group 5: Global Connectivity - The introduction of ETFs tracking the Nasdaq 100 index and the first Saudi Islamic bond ETF in Hong Kong has enhanced the market's global connectivity [8] - A memorandum of understanding signed between the Hong Kong Stock Exchange and the Abu Dhabi Securities Exchange aims to strengthen financial market ties [8] Group 6: Rise of Active ETFs - Active ETFs have gained prominence, with inflows reaching USD 183 billion in the first half of 2025, driven by strong market performance [9] - As of September 2025, there are 31 active ETFs listed in Hong Kong, with a total market value of approximately HKD 23.7 billion, a 143% increase from the previous year [9] Conclusion - The strong performance of the Hong Kong ETF market in 2025 is attributed to its robust growth and continuous development, positioning it as a leading global ETF market [10]

Group 1: IPO Activity and Market Performance - Hong Kong's IPO activity and securities market performance have shown robust growth, reinforcing its position as a leading international financial center [1] - In the first seven months of the year, Hong Kong recorded 51 IPOs, with fundraising amounting to HKD 128 billion, a year-on-year increase of over 610% [1] - As of the end of July, there were over 220 IPO applications under review [1] - The average daily trading volume in the market surged by 85% to HKD 243.7 billion during the first seven months [1] Group 2: Asset and Wealth Management Growth - The number of license applications received by the Hong Kong Securities and Futures Commission (SFC) increased by 16% year-on-year, indicating a thriving market [2] - The asset and wealth management sector saw a strong growth, with assets under management for funds registered in Hong Kong increasing by 39% year-on-year [2] - The number of open-ended fund companies rose by 56% year-on-year, and the average daily trading volume of ETFs surged by 135.5% during the quarter [2] Group 3: Virtual Assets Development - The number of approved virtual asset spot ETFs in Hong Kong increased from six to nine, with three new virtual asset spot ETFs approved for staking activities [3] - As of the end of July, the number of licensed virtual asset trading platforms rose to 11, with 57 licensed entities permitted to provide virtual asset trading services [3] - The SFC is collaborating with the Financial Services and the Treasury Bureau to propose legislation for regulating virtual asset traders and custodians [3] Group 4: Investor Protection and Market Integrity - The SFC continues to prioritize investor protection, issuing warnings against market speculation related to stablecoins [3] - The SFC provided guidance to licensed institutions on preventing fraud and unauthorized trading, responding to international calls to combat scams [3] - A joint operation with the Independent Commission Against Corruption led to the arrest of two former executives of a listed company suspected of market manipulation through corrupt means [3]

Industry Status - The global asset management industry reached an asset management scale of $128 trillion in 2024, marking a 12% increase from the previous year, driven by strong market performance [19][8] - The industry's revenue grew by $58 billion, with 70% of this growth attributed to market performance and only 30% from net inflows, although half of the revenue growth was offset by the increase in low-cost products and declining fee rates [8][9] - Investors are shifting from actively managed funds to passive management products, particularly exchange-traded funds (ETFs), with active funds experiencing a net outflow of $100 billion in 2024, while passive funds saw a net inflow of $1.6 trillion [10][28] Three Forces Reshaping the Industry 1. **Product and Distribution Model Transformation** - The demand for ETFs is increasing, especially in the active ETF space, as they offer lower management fees and help build closer long-term relationships with clients [22][39] - Asset management firms are developing private equity products for retail investors to meet their demand for high-risk, high-return investments, although they face challenges related to liquidity and regulatory requirements [2][49] 2. **Industry Consolidation Wave** - Asset management firms are pursuing strategic partnerships or mergers to enhance scale and expand business, focusing on five key strategies: expanding product range, global business expansion, building technology and data capabilities, acquiring more long-term capital, and improving client relationships [3][12] - Successful execution of these strategies requires careful planning to bridge cultural, compensation, and value creation differences [3][12] 3. **Lean Management and Cost Reduction Needs** - Many firms are adopting three strategic models to reshape their cost structures: focusing investments on investment management and trading execution, concentrating on sales and marketing, and centralizing resources in IT [4][21] - The zero-based cost management approach is being utilized to reassess all costs from scratch, leading to changes such as outsourcing non-core functions and leveraging generative AI for process automation [5][21] Future Trends - The active ETF market is still in its early stages, with assets under management only accounting for 7% of the total ETF market, indicating a fragmented market landscape [6][45] - The integration of private assets into retail markets presents significant opportunities for asset management firms, which may consider allocating private assets into active ETFs or creating hybrid investment tools [6][49] - Industry consolidation through mergers and collaborations is expected to continue, with a focus on expanding alternative investment products and enhancing global business reach [6][12] Key Data and Conclusions - The global asset management scale grew by 12% in 2024, reaching $128 trillion [8] - Revenue growth in 2024 was $58 billion, with 70% driven by market performance [9] - Passive funds continue to attract capital, while active funds are seeing a slowdown in outflows [10] - Investment management and trading execution costs account for 30%-40% of total costs, while sales, marketing, and operations costs make up 39% [11] - The industry is focusing on five key goals for consolidation: expanding alternative investment products, enhancing global business reach, building technology and data capabilities, acquiring more long-term capital, and improving client relationships [12][56]

Group 1: Company Insights - The company has submitted a domestic listing application for the FGFR4 inhibitor, Pimiatin, which has entered the registration clinical trial phase for liver cancer treatment, indicating significant clinical potential [9][10][11] - The company maintains revenue guidance for 2025-2027 at 619 million, 623 million, and 664 million yuan respectively, and continues to push forward with its early-stage pipeline progress [11] - The company has demonstrated strong clinical development capabilities, with multiple innovative clinical breakthroughs announced at the 2025 AACR conference, showcasing its commitment to advancing its pipeline [11] Group 2: Industry Insights - The banking sector is experiencing a profound change in funding structure, with a shift towards reallocation rather than trading, driven by stable capital inflows from passive index expansions [12][13] - The average dividend yield for the banking sector currently stands at 3.86%, making it attractive for long-term capital, particularly from insurance funds [12][13] - In June 2025, the banking sector outperformed the CSI 300 index, with a 6.13% increase, indicating strong market performance [14]

Group 1 - Hong Kong Stock Exchange reported a 322% year-on-year increase in total fundraising amount for the first half of 2025, reaching 280.8 billion HKD compared to 66.5 billion HKD in the same period last year [10][12] - The number of new listings in the first half of 2025 was 44, a 47% increase from 30 in the previous year, with IPO fundraising amounting to 107.1 billion HKD, up 699% from 13.4 billion HKD [10][12] - The total market capitalization of the Hong Kong securities market reached 42.7 trillion HKD by the end of June, a 33% increase from 32.1 trillion HKD year-on-year [12] Group 2 - Five new stocks were listed on July 9, 2025, all of which closed higher on their debut, with FORTIOR rising over 16% and 蓝思科技 increasing by over 9% [10][11] - The average daily trading volume for the first half of 2025 was 2.4 trillion HKD, a significant increase of 118% compared to 1.1 trillion HKD in the same period last year [12] Group 3 - The Hong Kong Securities and Futures Commission welcomed the listing of the first actively managed ETF in Hong Kong, which enhances the product offerings for local investors and demonstrates Hong Kong's competitiveness in attracting overseas ETFs [14]