1. Report Industry Investment Rating - Not provided in the document 2. Core Views of the Report - In Q4 2025, the bond market valuation recovered, and the net asset value of the bond funds in the whole market stopped falling and rebounded. However, the "asset shortage" pattern continued, the yield of credit bonds declined again, and the supply of desirable medium - to - high - yield assets shrank. Against this background, bond funds actively explored returns in terms of variety and duration in Q4, while remaining relatively cautious about credit downgrading [5]. - From the overall situation of bond fund heavy - holdings, the return range was further compressed, and institutions tended to adopt conservative strategies. The yields of the heavy - holding bond issuers were highly concentrated in the low - return range below 1.8%, and the scale of high - yield assets above 2.5% continued to shrink [5]. - For heavy - holding of urban investment bonds, the regional level showed a downward trend, with a preference for short - term durations. Zhejiang and Jiangsu were still the core heavy - holding regions, but the allocation intensity decreased. Institutions' preference for regions such as Sichuan, Shanghai, and Hunan increased. In terms of term distribution, the scale of each province was mainly concentrated around 1 - year, and as the term lengthened, the holding preference converged significantly towards strong provinces [5]. - For heavy - holding of financial bonds, bank Tier 2 and perpetual bonds dominated the allocation, and there was an obvious trend of variety downgrading. Financial bonds accounted for 72% of all heavy - holding credit bonds, with bank Tier 2 and perpetual bonds as the core varieties, and the allocation was relatively concentrated in the medium - to - high - yield range of 2.0% - 2.5%. In terms of term, a dumbbell - shaped allocation was preferred [5]. - For heavy - holding of industrial bonds, the allocation was concentrated in core industries, and institutions were more cautious about real - estate bonds. Non - bank finance and public utilities were the top two industries in terms of total market value of holdings, and were significantly increased in holdings compared with the previous period. Industries such as real estate, transportation, and coal were significantly reduced in holdings [5]. 3. Summary According to Relevant Catalogs 3.1 Bond Fund Heavy - Holding Overview 3.1.1 Overall Situation - As of the end of Q4 2025, there were 3,993 bond - type funds in the whole market, with a total scale of 11.10 trillion yuan, an increase of 0.36 trillion yuan compared with the end of the previous quarter. Bond - type funds were mainly medium - and long - term pure - bond funds, presenting a structure characterized by "dominated by medium - and long - term pure - bond funds and supplemented by hybrid bond funds" [11]. 3.1.2 Credit Bond Heavy - Holding from a Return Perspective - Most bond funds had a stable investment style and tended to adopt relatively conservative investment strategies. The yields of heavy - holding bond issuers were highly concentrated in the range below 1.8%. The supply of high - yield assets continued to shrink, and the high - yield assets above 2.5% further contracted compared with Q3 2025 [19]. - In Q4, the "asset shortage" continued, and the yields of credit bonds declined again. The concentration range of heavy - holding bond yields shifted downward. Compared with Q3, the balance of heavy - holding bonds with issuer yields below 1.8% increased significantly, while the holding balances of heavy - holding bonds in the ranges of 1.8 - 2.0%, 2.0 - 2.5%, and above 2.5% decreased to varying degrees [19]. 3.1.3 Types of Bond Fund Heavy - Holding Bonds and Their Performance in Different Dimensions - In Q4 2025, bond fund heavy - holding bonds generally showed a configuration trend of low - return concentration and high - return contraction. Financial bonds dominated with over 540 billion yuan, with bank Tier 2 and perpetual bonds as the core configuration. Industrial bonds tended to have medium - to - low returns, and urban investment bonds were concentrated in the 1.8% - 2.0% range [29]. - In terms of implicit rating distribution, financial and industrial bonds preferred high - rating issuers, while urban investment bonds showed an obvious downward trend. In Q4, incremental allocation was concentrated in high - rating bonds, and institutions were relatively cautious about credit downgrading [32]. 3.2 Characteristics of Urban Investment Bond Heavy - Holding 3.2.1 Regional and Hierarchical Characteristics of Heavy - Holding Urban Investment Bonds - In Q4 2025, the heavy - holding regions of urban investment bonds showed a certain downward trend, including prefecture - level cities in key provinces, district - level cities in non - key provinces, and park - level areas in municipalities. Zhejiang and Jiangsu were still the core heavy - holding regions, but the allocation intensity decreased. Institutions' preference for regions such as Sichuan, Shanghai, and Hunan increased [38]. 3.2.2 Term Characteristics of Heavy - Holding Urban Investment Bonds - Urban investment bonds generally preferred short - term durations. As the term lengthened, the holding preference converged significantly towards strong provinces. In Q4 2025, the term distribution of urban investment bond heavy - holdings was significantly differentiated, with the scale of each province mainly concentrated around 1 - year. The overall heavy - holding duration lengthened, but institutions were still cautious about ultra - long - term urban investment bonds [43]. 3.2.3 Analysis of the Top 20 Heavy - Holding Urban Investment Bond Issuers - The top 20 heavy - holding urban investment bond issuers in Q4 2025 were mainly medium - level prefecture - level platforms, with less obvious head - concentration characteristics. In Q4, the number of provincial - level platforms increased, and the degree of credit downgrading decreased. Some platforms were significantly reduced in holdings, while some provincial - level transportation platforms were increased in holdings [48]. 3.3 Overview of Financial Bond Heavy - Holding 3.3.1 Analysis of the Duration of Heavy - Holding Financial Bonds - Bank Tier 2 and perpetual bonds were mainly heavy - held by national and joint - stock banks, with a dumbbell - shaped term configuration preference. Compared with Q3, institutions' preference for state - owned banks and 3 - year terms increased significantly. The heavy - holding scale of Tier 2 and perpetual bonds increased, with state - owned banks showing obvious increases in holdings. Non - Tier 2 and perpetual bonds focused on 1 - year commercial financial bonds, and secondary - type bonds focused on 4 - year insurance bonds and 2 - 3 - year TLAC bonds [52]. 3.3.2 Analysis of the Top 20 Heavy - Holding Financial Bond Issuers - The top 20 heavy - holding bank Tier 2 and perpetual bond issuers were mainly state - owned banks, joint - stock banks, and relatively leading city commercial banks. State - owned banks generally increased their holdings, while joint - stock banks showed obvious differentiation. The yields of heavy - holding bonds generally declined rapidly, and there was significant differentiation in the remaining terms among issuers [61]. 3.4 Situation of Industrial Bond Heavy - Holding 3.4.1 Analysis of Heavy - Holding Industrial Bond Industries - Industrial bond allocation was still centered on industries with strong quasi - public attributes and industries with high financial relevance. Non - bank finance, public utilities, and transportation were the top three industries in terms of total market value of holdings. Non - bank finance and public utilities were significantly increased in holdings, while industries such as real estate, transportation, and coal were significantly reduced in holdings [71]. - Short - term duration varieties were still the main allocation. Most industries had a proportion of 0 - 2 - year terms exceeding 50%. Non - bank finance significantly lengthened the heavy - holding duration, while public utilities further increased the allocation of short - term duration bonds [72]. 3.4.2 Analysis of the Top 20 Heavy - Holding Industrial Bond Issuers - The top 20 heavy - holding industrial bond issuers were all central and local state - owned enterprises, mainly distributed in industries such as non - bank finance, public utilities, transportation, and coal. The allocation of industrial bond issuers was relatively concentrated. The average valuation yields of the top 20 heavy - holding industrial bond issuers generally declined, and there was significant differentiation in term changes among issuers [76]. 3.4.3 Analysis of the Top 10 Heavy - Holding Real - Estate Bond Issuers - State - owned and central - enterprise - affiliated real - estate bond issuers still occupied a core position. Some issuers were significantly increased in holdings, while some were significantly reduced in holdings. The real - estate bond allocation showed the characteristics of "medium - to - short - term duration + concentration on strong - credit issuers", and there was obvious differentiation in the return and duration strategies [79].

1. Report Industry Investment Rating - No information provided 2. Core Viewpoints - The central value of the trading duration of general credit bonds is stable around 2.2 years. As of March 20, the weighted trading durations of urban investment bonds and industrial bonds were 2.16 years and 2.29 years respectively, at the 90% and 74% historical quantiles since 2021. Among commercial bank bonds, the weighted average trading durations of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds were 4.15 years, 3.41 years, and 1.73 years respectively. The duration quantile of secondary capital bonds was relatively high, while that of general commercial financial bonds remained at a relatively low historical level. For other financial bonds, the durations of securities company bonds, securities subordinated bonds, insurance company bonds, and leasing company bonds were 1.96 years, 2.87 years, 3.52 years, and 1.23 years respectively, all of which were longer than last week and at relatively high historical quantiles [2][9]. - The coupon duration congestion index has declined. After reaching its peak in March 2024, the index has fallen and is currently at the 48% level since March 2021 [12]. 3. Summary by Directory 3.1 Full - Variety Term Overview - The central value of the trading duration of general credit bonds is stable around 2.2 years. As of March 20, the weighted trading durations of urban investment bonds and industrial bonds were 2.16 years and 2.29 years respectively, at the 90% and 74% historical quantiles since 2021. Among commercial bank bonds, the weighted average trading durations of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds were 4.15 years, 3.41 years, and 1.73 years respectively. For other financial bonds, the durations of securities company bonds, securities subordinated bonds, insurance company bonds, and leasing company bonds were 1.96 years, 2.87 years, 3.52 years, and 1.23 years respectively, all longer than last week and at relatively high historical quantiles [2][9]. - The coupon duration congestion index has declined. After reaching its peak in March 2024, the index has fallen and is currently at the 48% level since March 2021 [12]. 3.2 Variety Microscope 3.2.1 Urban Investment Bonds - The weighted average trading duration of urban investment bonds hovers around 2.37 years. The duration of Sichuan provincial urban investment bonds has extended to 4.05 years, while that of Henan provincial urban investment bonds has shortened to around 1.65 years. The historical quantiles of the durations of Jiangsu and Beijing district - level urban investment bonds have exceeded 90%, and the duration of Jiangsu prefecture - level urban investment bonds is approaching the highest level since 2021 [3][16]. 3.2.2 Industrial Bonds - The weighted average trading duration of industrial bonds has shortened compared to last week, generally around 1.94 years. The trading duration of the real estate industry has extended to 1.84 years, while that of the public utilities industry has shortened to 2.58 years. The trading duration of the building materials industry is at a relatively high historical quantile, while those of the transportation and coal industries are at relatively low historical quantiles [3][23]. 3.2.3 Commercial Bank Bonds - The duration of general commercial financial bonds has shortened to 1.73 years, at the 13.8% historical quantile, lower than the level of the same period last year. The duration of secondary capital bonds has shortened to 4.15 years, at the 86.4% historical quantile, higher than the level of the same period last year. The duration of bank perpetual bonds has extended to 3.41 years, at the 49% historical quantile, lower than the level of the same period last year [3][25]. 3.2.4 Other Financial Bonds - In terms of the weighted average trading duration, insurance company bonds > securities subordinated bonds > securities company bonds > leasing company bonds, at the 77.3%, 88.4%, 83.3%, and 66% historical quantiles respectively, all slightly higher than last week [3][28].

1. Report Industry Investment Rating - No relevant information provided. 2. Core View of the Report - The overall duration of credit bonds has shortened. As of March 6, the weighted average transaction terms of urban investment bonds and industrial bonds were 2.09 years and 2.27 years respectively. Among commercial bank bonds, the weighted average transaction terms of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds were 3.88 years, 3.47 years, and 1.74 years respectively, with the general commercial financial bonds at a relatively low historical level. For other financial bonds, the durations of securities company bonds, securities subordinated bonds, insurance company bonds, and leasing company bonds were 1.87 years, 2.21 years, 3.12 years, and 1.26 years respectively. The durations of securities subordinated bonds and leasing company bonds have shortened compared to last week, and the historical quantile of the duration of securities company bonds is at a relatively high historical level [2][9]. 3. Summary by Directory 3.1 Full Variety Term Overview - The overall duration of credit bonds has shortened. As of March 6, the weighted average transaction terms of urban investment bonds and industrial bonds were 2.09 years and 2.27 years respectively. Among commercial bank bonds, the weighted average transaction terms of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds were 3.88 years, 3.47 years, and 1.74 years respectively, with the general commercial financial bonds at a relatively low historical level. For other financial bonds, the durations of securities company bonds, securities subordinated bonds, insurance company bonds, and leasing company bonds were 1.87 years, 2.21 years, 3.12 years, and 1.26 years respectively. The durations of securities subordinated bonds and leasing company bonds have shortened compared to last week, and the historical quantile of the duration of securities company bonds is at a relatively high historical level [2][9]. - The coupon duration congestion index is relatively stable. After reaching its highest value in March 2024, the coupon duration congestion index has declined. This week, it is the same as last week and is currently at the 64.5% level since March 2021 [12]. 3.2 Variety Microscope 3.2.1 Urban Investment Bonds - The weighted average transaction term of urban investment bonds hovers around 2.09 years. Among them, the duration of Sichuan provincial urban investment bonds has extended to 4.48 years, and the transaction duration of Guangxi provincial urban investment bonds has shortened to around 0.95 years. At the same time, the historical quantiles of the durations of Zhejiang district - level and Henan prefecture - level urban investment bonds have exceeded 90%, and the duration of Fujian district - level urban investment bonds is approaching the highest level since 2021 [3][16]. 3.2.2 Industrial Bonds - The weighted average transaction term of industrial bonds has shortened compared to last week and is generally around 2.27 years. The transaction duration of the food and beverage industry has extended to 1.27 years, and the transaction duration of the non - ferrous metal industry has shortened to 1.61 years. In addition, the transaction duration of the coal industry is at a relatively low historical quantile, while the construction materials and public utilities industries are at relatively high historical quantiles [3][23]. 3.2.3 Commercial Bank Bonds - The duration of general commercial financial bonds has extended to 1.74 years, at the 14% historical quantile, higher than the level of the same period last year. The duration of secondary capital bonds has shortened to 3.88 years, at the 69.6% historical quantile, lower than the level of the same period last year; the duration of bank perpetual bonds has extended to 3.47 years, at the 55.2% historical quantile, higher than the level of the same period last year [3][26]. 3.2.4 Other Financial Bonds - In terms of the weighted average transaction term, insurance company bonds > securities subordinated bonds > securities company bonds > leasing company bonds, which are at the 59.6%, 55.2%, 77.8%, and 67.7% historical quantiles respectively. The durations of securities subordinated bonds and leasing company bonds have both slightly shortened compared to last week [3][29].

1. Report Industry Investment Rating - No relevant content provided 2. Core Viewpoints of the Report - As of January 30, the weighted average transaction terms of urban investment bonds and industrial bonds were 2.26 years and 2.43 years respectively. Among commercial bank bonds, the weighted average transaction terms of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds were 4.00 years, 3.52 years, and 2.05 years respectively, with secondary capital bonds at a relatively high historical level. The durations of other financial bonds, such as securities company bonds, securities subordinated bonds, insurance company bonds, and leasing company bonds, were 1.70 years, 2.09 years, 3.26 years, and 1.44 years respectively. The overall duration of other financial bonds was slightly shorter than the previous week, and the historical quantile of the duration of leasing company bonds was at a relatively high historical level [2][9]. - The coupon duration congestion index has increased. After reaching its highest value in March 2024 and then declining, the index rose this week compared to last week and is currently at the 64% level since March 2021 [11]. 3. Summary by Relevant Catalog 3.1 All - Variety Term Overview - The weighted average transaction terms of urban investment bonds and industrial bonds were 2.26 years and 2.43 years respectively. Among commercial bank bonds, the weighted average transaction terms of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds were 4.00 years, 3.52 years, and 2.05 years respectively. The durations of securities company bonds, securities subordinated bonds, insurance company bonds, and leasing company bonds were 1.70 years, 2.09 years, 3.26 years, and 1.44 years respectively [2][9]. - The coupon duration congestion index increased this week compared to last week and is currently at the 64% level since March 2021 [11]. 3.2 Variety Microscope Urban Investment Bonds - The weighted average transaction term of urban investment bonds hovered around 2.26 years. The duration of Shaanxi provincial - level urban investment bonds extended to 9.16 years, while the transaction duration of Hebei provincial - level urban investment bonds shortened to around 1.19 years. The historical quantiles of the durations of prefecture - level cities in Hunan, district - level counties in Jiangsu, and district - level counties in Beijing have exceeded 90%, and the duration of prefecture - level cities in Anhui is approaching the highest since 2021 [3][15]. Industrial Bonds - The weighted average transaction term of industrial bonds remained the same as last week, generally around 2.43 years. The transaction duration of the coal industry extended to 2.25 years, and the transaction duration of the public utilities industry shortened to 2.75 years. The transaction durations of the food and beverage and real estate industries are in the neutral historical quantile range, while those of the non - ferrous metals and pharmaceutical and biological industries are at relatively high historical quantiles [3][21]. Commercial Bank Bonds - The duration of general commercial financial bonds extended to 2.05 years, at the 53.3% historical quantile, higher than the same period last year. The duration of secondary capital bonds shortened to 4.00 years, at the 80.2% historical quantile, higher than the same period last year. The duration of bank perpetual bonds shortened to 3.52 years, at the 56.9% historical quantile, higher than the same period last year [3][24]. Other Financial Bonds - In terms of the weighted average transaction term, insurance company bonds > securities subordinated bonds > securities company bonds > leasing company bonds, at historical quantiles of 65.4%, 46.6%, 60.4%, and 86.9% respectively. The overall duration of other financial bonds was slightly shorter than last week [3][27].

1. Report Industry Investment Rating No information provided. 2. Core Viewpoints - The duration of niche financial bonds has generally increased. As of January 16, the weighted average trading durations of urban investment bonds and industrial bonds were 2.10 years and 2.22 years respectively. Among commercial bank bonds, the weighted average trading durations of Tier 2 capital bonds, bank perpetual bonds, and general commercial financial bonds were 3.92 years, 3.62 years, and 1.86 years respectively. The duration of general commercial financial bonds was at a relatively low historical level, while that of Tier 2 capital bonds was at a relatively high historical level. Among other financial bonds, the durations of securities company bonds, securities subordinated bonds, insurance company bonds, and leasing company bonds were 1.76 years, 2.41 years, 3.94 years, and 1.27 years respectively, all slightly longer than the previous week. The historical quantile of the duration of insurance company bonds was at a relatively high level [9]. - The ticket duration congestion index has decreased. After reaching its peak in March 2024, the index has declined. This week, it decreased compared to last week and is currently at the 36.6% level since March 2021 [12]. 3. Summary by Directory 3.1 Full - Variety Term Overview - The weighted average trading durations of urban investment bonds and industrial bonds were 2.10 years and 2.22 years respectively. Among commercial bank bonds, the weighted average trading durations of Tier 2 capital bonds, bank perpetual bonds, and general commercial financial bonds were 3.92 years, 3.62 years, and 1.86 years respectively. Among other financial bonds, the durations of securities company bonds, securities subordinated bonds, insurance company bonds, and leasing company bonds were 1.76 years, 2.41 years, 3.94 years, and 1.27 years respectively, all slightly longer than the previous week [9]. 3.2 Variety Microscope 3.2.1 Urban Investment Bonds - The weighted average trading duration of urban investment bonds hovered around 2.26 years. The duration of urban investment bonds in prefecture - level cities in Guangdong extended to 4.09 years, while that of provincial - level urban investment bonds in Shandong shortened to around 1.09 years. The historical quantiles of the durations of urban investment bonds in prefecture - level cities in Guangdong, district - level in Beijing, and prefecture - level in Hunan exceeded 90%, and the duration of urban investment bonds in prefecture - level cities in Anhui approached the highest level since 2021 [16]. 3.2.2 Industrial Bonds - The weighted average trading duration of industrial bonds shortened compared to the previous week, generally around 1.86 years. The trading duration of the food and beverage industry extended to 1.66 years, while that of the steel industry shortened to 1.52 years. The trading duration of the real estate industry was at a relatively low historical quantile, while those of the building materials, food and beverage, and pharmaceutical biology industries were at relatively high historical quantiles [21]. 3.2.3 Commercial Bank Bonds - The duration of general commercial financial bonds shortened to 1.86 years, at the 25.4% historical quantile, higher than the same period last year. The duration of Tier 2 capital bonds shortened to 3.92 years, at the 73.3% historical quantile, higher than the same period last year. The duration of bank perpetual bonds extended to 3.62 years, at the 60.1% historical quantile, higher than the same period last year [23]. 3.2.4 Other Financial Bonds - In terms of the weighted average trading duration, insurance company bonds > securities sub - bonds > securities company bonds > leasing company bonds, at the 91.8%, 67.3%, 67.7%, and 70.1% historical quantiles respectively. The durations of all of them increased compared to the previous week [26].

1. Report Industry Investment Rating No relevant content provided. 2. Core View of the Report - The duration of general credit bonds has significantly shortened. As of December 31, the weighted average trading terms of urban investment bonds and industrial bonds were 1.58 years and 2.19 years respectively. Among commercial bank bonds, the weighted average trading terms of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds were 4.01 years, 3.31 years, and 1.73 years respectively. The duration of other financial bonds, such as securities company bonds, securities subordinated bonds, insurance company bonds, and leasing company bonds, also shortened compared to the previous week [2][9]. - The coupon duration congestion index has decreased. After reaching its peak in March 2024, the index has declined. This week, it decreased compared to last week and is currently at the 40.9% level since March 2021 [12]. 3. Summary by Relevant Catalogs 3.1 Full - Variety Term Overview - As of December 31, the weighted average trading terms of urban investment bonds and industrial bonds were 1.58 years and 2.19 years respectively. Among commercial bank bonds, secondary capital bonds, bank perpetual bonds, and general commercial financial bonds had weighted average trading terms of 4.01 years, 3.31 years, and 1.73 years respectively. General commercial financial bonds were at a relatively low historical level, while secondary capital bonds were at a relatively high historical level. The durations of securities company bonds, securities subordinated bonds, insurance company bonds, and leasing company bonds were 1.41 years, 1.43 years, 3.06 years, and 1.35 years respectively, and all shortened compared to the previous week. Securities company bonds and securities subordinated bonds were at low historical percentiles [2][9]. - The coupon duration congestion index decreased. After reaching its peak in March 2024, it declined this week compared to last week and is at the 40.9% level since March 2021 [12]. 3.2 Variety Microscope Urban Investment Bonds - The weighted average trading term of urban investment bonds hovered around 1.65 years. The duration of Shaanxi provincial - level urban investment bonds extended to 4.88 years, while the trading duration of Hebei provincial - level urban investment bonds shortened to around 0.61 years. The historical percentiles of the durations of Fujian district - level and Gansu provincial - level urban investment bonds exceeded 90%, and the duration of Gansu provincial - level urban investment bonds was approaching its highest since 2021 [3][16]. Industrial Bonds - The weighted average trading term of industrial bonds shortened compared to the previous week, generally around 1.84 years. The trading duration of the basic chemical industry extended to 2.33 years, while that of the food and beverage industry shortened to 0.80 years. The trading duration of the real estate industry was at a low historical percentile, and that of the pharmaceutical and biological industry was at a high historical percentile [3][21]. Commercial Bank Bonds - The duration of general commercial financial bonds shortened to 1.73 years, at the 13.6% historical percentile, lower than the same period last year. The duration of secondary capital bonds extended to 4.01 years, at the 81.1% historical percentile, lower than the same period last year. The duration of bank perpetual bonds shortened to 3.31 years, at the 45.3% historical percentile, lower than the same period last year [3][23]. Other Financial Bonds - In terms of the weighted average trading term, insurance company bonds > securities subordinated bonds > securities company bonds > leasing company bonds, at the 54.5%, 4%, 14%, and 79.9% historical percentiles respectively, and their durations all shortened compared to the previous week [3][26].

Report Summary Investment Rating No investment rating for the industry is provided in the report. Core Viewpoints - The duration of secondary capital bonds has been continuously rising, while the durations of other credit bonds have generally shortened. As of December 5, the weighted average trading durations of urban investment bonds and industrial bonds were 1.90 years and 2.27 years respectively. Among commercial bank bonds, the weighted average trading durations of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds were 4.31 years, 3.78 years, and 1.94 years respectively. General commercial financial bonds were at a relatively low historical level, and secondary capital bonds were at a relatively high historical level. For other financial bonds, the durations of securities company bonds, securities subordinated bonds, insurance company bonds, and leasing company bonds were 1.53 years, 1.83 years, 3.33 years, and 1.19 years respectively. The duration of securities subordinated bonds has significantly shortened compared to last week, and the durations of securities company bonds and securities subordinated bonds were at relatively low historical levels [2][9]. - The coupon duration crowding index has slightly increased. After reaching its highest value in March 2024, the coupon duration crowding index declined. This week, it increased compared to last week and is currently at the 20.8% level since March 2021 [11]. Summary by Directory 1. All - Variety Duration Overview - Urban investment bonds: The weighted average trading duration hovered around 1.90 years. The duration of Hebei provincial urban investment bonds lengthened to 5.50 years, and the trading duration of Guangxi provincial urban investment bonds shortened to around 1.22 years. The historical quantiles of the durations of urban investment bonds in regions such as Zhejiang prefecture - level cities, Henan prefecture - level cities, and Hunan province have exceeded 90%, and the duration of Hunan provincial urban investment bonds is approaching the highest level since 2021 [3][15]. - Industrial bonds: The weighted average trading duration of industrial bonds shortened compared to last week and was generally around 2.27 years. The trading duration of the transportation industry lengthened to 2.02 years, and the trading duration of the food and beverage industry shortened to 0.55 years. The trading duration of the real estate industry was at a relatively low historical level, while those of the non - ferrous metals and pharmaceutical and biological industries were at relatively high historical levels [3][21]. - Commercial bank bonds: The duration of general commercial financial bonds shortened to 1.94 years, at the 35.9% historical quantile, lower than the level of the same period last year. The duration of secondary capital bonds lengthened to 4.31 years, at the 95.1% historical quantile, higher than the level of the same period last year. The duration of bank perpetual bonds shortened to 3.78 years, at the 67.7% historical quantile, higher than the level of the same period last year [3][23]. - Other financial bonds: In terms of the weighted average trading duration, insurance company bonds > securities subordinated bonds > securities company bonds > leasing company bonds, at historical quantiles of 71.4%, 22%, 31.8%, and 61.2% respectively. The overall duration of other financial bonds has shortened compared to last week [3][26]. 2. Variety Microscope - Coupon duration crowding index: After reaching its peak in March 2024, the coupon duration crowding index decreased and then increased slightly this week. It is currently at the 20.8% level since March 2021 [11]. - Regional analysis of urban investment bonds: The report provides the durations and historical quantiles of urban investment bonds in different provinces and administrative levels, such as the duration of Hebei provincial urban investment bonds lengthening to 5.50 years and Guangxi provincial urban investment bonds shortening to 1.22 years [15][20]. - Industry analysis of industrial bonds: Different industries within industrial bonds showed different duration changes. For example, the transportation industry's duration lengthened, and the food and beverage industry's duration shortened [21].

1. Report Industry Investment Rating No relevant content provided. 2. Core View of the Report As of November 7, the durations of general credit bonds and secondary bonds have returned to high levels. The weighted average trading durations of urban investment bonds and industrial bonds are at over 90% of their historical highs since 2021. Among commercial bank bonds, the weighted average trading durations of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds are at different historical levels, and the durations of other financial bonds have generally shortened, with lease company bonds at a relatively high historical percentile [2][9]. 3. Summary by Relevant Catalog 3.1 Full - Variety Maturity Overview - As of November 7, the weighted trading durations of urban investment bonds and industrial bonds are 2.20 years and 2.82 years respectively, at over 90% of their historical highs since 2021 [2][9]. - Among commercial bank bonds, the weighted average trading durations of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds are 4.45 years, 3.81 years, and 2.16 years respectively. The general commercial financial bonds are at a relatively low historical level [2][9]. - For other financial bonds, the durations of securities company bonds, securities sub - bonds, insurance company bonds, and lease company bonds are 1.74 years, 2.38 years, 3.31 years, and 1.32 years respectively. The overall duration of other financial bonds has shortened, and lease company bonds are at a relatively high historical percentile [2][9]. - The coupon duration congestion index has slightly increased. After reaching its peak in March 2024 and then declining, it has rebounded this week and is currently at the 35.6% level since March 2021 [11]. 3.2 Variety Microscope Urban Investment Bonds - The weighted average trading duration of urban investment bonds hovers around 2.32 years. The duration of Gansu provincial - level urban investment bonds has extended to 3.25 years, while the trading duration of Shanghai district - level urban investment bonds has shortened to around 1.47 years [3][15]. - The historical percentiles of the durations of urban investment bonds in regions such as Chongqing district - level, Henan prefecture - level, and Anhui prefecture - level have exceeded 90%. The durations of Chongqing district - level and Gansu provincial - level urban investment bonds are approaching their highest levels since 2021 [3][15]. Industrial Bonds - The weighted average trading duration of industrial bonds has slightly shortened compared to last week and is generally around 2.27 years. The trading durations of the non - ferrous metals and public utilities industries have extended to 2.48 years and 3.29 years respectively [3][21]. - The trading duration of the real estate industry is at a relatively low historical percentile, while the building materials and commercial retail industries are at relatively high historical percentiles [3][21]. Commercial Bank Bonds - The duration of general commercial financial bonds has extended to 2.16 years, at the 67.6% historical percentile, lower than the level of the same period last year [3][23]. - The duration of secondary capital bonds has shortened to 4.45 years, at the 97.9% historical percentile, higher than the level of the same period last year [3][23]. - The duration of bank perpetual bonds has shortened to 3.81 years, at the 69.7% historical percentile, higher than the level of the same period last year [3][23]. Other Financial Bonds - In terms of the weighted average trading duration, insurance company bonds > securities sub - bonds > securities company bonds > lease company bonds, at the 70%, 63.9%, 63.9%, and 78% historical percentiles respectively. The duration of insurance company bonds has significantly extended compared to last week [3][26].

Group 1: Quantitative Credit Strategy - The urban investment bond duration strategy balances returns and defensiveness well, with cumulative excess returns for perpetual bonds, secondary bonds, and urban investment barbell combinations reaching 18.5bp, 14.7bp, and 5.1bp respectively [2][12] - Most medium to long-term strategies have shown excess returns in the past month, indicating potential profit from recent upward trends, although the likelihood of volatility corrections is higher compared to other strategies [2][12] Group 2: Duration Tracking - As of October 24, 2025, the weighted average transaction durations for urban investment bonds and industrial bonds are 1.98 years and 2.42 years, respectively, returning to over 80% of the high historical percentile since 2021 [3][15] - The weighted average transaction durations for secondary capital bonds, perpetual bonds, and general commercial bank bonds are 4.01 years, 3.46 years, and 1.83 years, with secondary capital bonds showing a relatively high duration percentile [3][15] Group 3: Yield Heatmap - As of October 27, 2025, the valuation yields and spreads of private enterprise industrial bonds and real estate bonds are generally higher than other varieties [4][17] - In the non-financial and non-real estate industrial bonds, yields have generally declined, with the average drop exceeding 6bp for 2-5 year state-owned enterprise private perpetual bonds [4][18] Group 4: Science and Technology Innovation Bonds - The issuance of science and technology innovation bonds reached a year-to-date high, with a total issuance scale of 699.4 billion yuan from October 20 to October 24, 2025, including 421.4 billion yuan from the exchange [5][20] - The subscription enthusiasm for new bonds has increased, with several science and technology bonds being oversubscribed by more than three times, indicating strong institutional demand for quality science and technology bonds [5][20] Group 5: Local Government Bonds - From October 20 to October 24, 2025, local government bonds issued totaled 247.2 billion yuan, including 112.4 billion yuan of new special bonds and 65.1 billion yuan of refinancing special bonds [6][23] - The main investment areas for special bond funds are "special new special bonds" and "ordinary/project income," with 73 billion yuan of special refinancing special bonds issued in October, accounting for 9.3% of the month's local bond issuance [6][23]

Report Industry Investment Rating No relevant content provided. Core Viewpoints - As of October 10, the heavy - position portfolios of medium - to - long - term secondary capital bonds and ultra - long industrial bonds performed better. The average return of the heavy - position portfolio of credit - style secondary capital bonds increased slightly last week, and the bullet - type strategy had an absolute return of around 0.15% with relatively small cumulative drawdown in Q3. The ultra - long bond heavy - position strategy's return rebounded by nearly 25bp, with the industrial ultra - long strategy reaching a relatively high level of 0.2% [2][12]. - The durations of mainstream credit bond varieties continued to shorten. As of October 10, the weighted average trading terms of urban investment bonds and industrial bonds were 1.65 years and 1.88 years respectively. Among commercial bank bonds, the weighted average trading terms of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds were 3.79 years, 3.36 years, and 1.69 years respectively, with general commercial financial bonds at a relatively low historical level [3][14]. - As of October 13, 2025, the valuation yields and spreads of private enterprise industrial bonds and real estate bonds in the outstanding credit bonds were generally higher than those of other varieties. Compared with last week, the yields of non - financial and non - real - estate industrial bonds generally declined, with an average decline of 6.4BP for varieties within 1 year [4][16]. - From the perspective of yields, the average return level of exchange - traded science and technology innovation bonds remained stable this week. The return of the relatively active 1 - 3 - year varieties increased by 3bp to 1.93%, while the interest rates of 3 - 5 - year varieties decreased, and the spread with non - science and technology general credit bonds of the same term widened to around 40bp [5][20]. - Affected by the National Day holiday, local government bonds worth 10.3 billion yuan were issued from October 9 to 10, all of which were refinancing general bonds. As of October 10, 2025, no special refinancing special bonds were issued in October. The average issuance interest rate of local government bonds declined marginally, and the spread between the 10 - year local government bond issuance rate and the same - term treasury bond rate was stable at around 25bp [6][22]. Summary by Directory Quantified Credit Strategy - As of October 10, the heavy - position portfolios of medium - to - long - term secondary capital bonds and ultra - long industrial bonds performed better. The average return of the heavy - position portfolio of credit - style secondary capital bonds increased slightly last week. The bullet - type strategy, with its previous declines gradually narrowing, had an absolute return of around 0.15% and relatively small cumulative drawdown in Q3, having both defensive and rebound - betting advantages. The secondary bond duration strategy was also strong. The return of the ultra - long bond heavy - position strategy rebounded by nearly 25bp, and the industrial ultra - long strategy reached a relatively high level of 0.2% [2][12]. Variety Duration Tracking - The durations of mainstream credit bond varieties continued to shorten. As of October 10, the weighted average trading terms of urban investment bonds and industrial bonds were 1.65 years and 1.88 years respectively. Among commercial bank bonds, the weighted average trading terms of secondary capital bonds, bank perpetual bonds, and general commercial financial bonds were 3.79 years, 3.36 years, and 1.69 years respectively, with general commercial financial bonds at a relatively low historical level. Among other financial bonds, the durations of securities company bonds, securities sub - bonds, insurance company bonds, and leasing company bonds were 1.37 years, 1.79 years, 3.22 years, and 1.11 years respectively. The durations of securities sub - bonds and leasing company bonds shortened, and securities company bonds were at a relatively low historical percentile [3][14]. Coupon Asset Heat Map - As of October 13, 2025, the valuation yields and spreads of private enterprise industrial bonds and real estate bonds in the outstanding credit bonds were generally higher than those of other varieties. Compared with last week, the yields of non - financial and non - real - estate industrial bonds generally declined, with an average decline of 6.4BP for varieties within 1 year. The interest rate declines of general commercial financial bonds were basically around 5BP. Among the second - tier perpetual bonds, the 2 - 5 - year varieties performed better, and the yield of 2 - 3 - year state - owned large - bank secondary capital bonds declined by more than 10BP. In addition, the yield of publicly - offered non - perpetual securities company bonds and sub - bonds within 1 year declined by 7.0BP [4][16][18]. Science and Technology Innovation Bond Prism - From the perspective of yields, the average return level of exchange - traded science and technology innovation bonds remained stable this week. The return of the relatively active 1 - 3 - year varieties increased by 3bp to 1.93%, while the interest rates of 3 - 5 - year varieties decreased, and the spread with non - science and technology general credit bonds of the same term widened to around 40bp. After the holiday, the absolute value of the low - valuation deviation of 3 - 5 - year exchange - traded science and technology innovation bonds was also higher than that of science and technology innovation bonds of other terms or general credit bonds of the same term, indicating that investors' preference for science and technology innovation bonds of this term recovered relatively quickly [5][20]. Local Bond Perspective - Affected by the National Day holiday, local government bonds worth 10.3 billion yuan were issued from October 9 to 10, all of which were refinancing general bonds. As of October 10, 2025, no special refinancing special bonds were issued in October. The average issuance interest rate of local government bonds declined marginally, and the spread between the 10 - year local government bond issuance rate and the same - term treasury bond rate was stable at around 25bp [6][22].