Core Viewpoint - The report outlines the operational performance and financial metrics of the Bosera China Merchants Shekou Industrial Park Closed-End Infrastructure Securities Investment Fund for the first half of 2025, emphasizing its investment strategy in infrastructure assets and the management of rental income and tenant relationships. Fund Overview - Fund Name: Bosera China Merchants Shekou Industrial Park Closed-End Infrastructure Securities Investment Fund - Fund Manager: Bosera Fund Management Co., Ltd. - Fund Trustee: China Merchants Bank Co., Ltd. - Total Fund Shares at Period End: 1,421,130,866 shares [1] - Fund Duration: 50 years [1] - Main Investment Focus: Infrastructure asset-backed securities [1] Financial Performance - Total Income for the Period: CNY 92,032,961.20 [4] - Net Profit for the Period: CNY 25,928,734.28 [4] - Cash Flow from Operating Activities: CNY 43,131,006.39 [4] - Cash Distribution Rate: 1.86% [4] - Annualized Cash Distribution Rate: 3.74% [4] - Total Fund Assets at Period End: CNY 3,659,655,839.72 [4] - Total Fund Net Assets at Period End: CNY 3,144,487,171.21 [4] Investment Strategy - The fund primarily invests in asset-backed securities related to infrastructure projects, aiming to enhance operational income and provide stable returns to investors [1][2]. - The fund's investment strategy includes maintaining a minimum of 80% of its assets in infrastructure asset-backed securities [2]. - The fund will actively seek high-quality infrastructure projects to diversify operational risks and enhance returns [2]. Rental Management and Tenant Relations - The fund aims to improve rental income and occupancy rates through proactive leasing management and tenant relationship maintenance [2]. - Strategies include early lease renewals, marketing initiatives, and optimizing tenant diversity to enhance asset value [2]. - The fund will also explore asset preservation and appreciation measures, such as facility upgrades and renovations [2]. Market Context - The report highlights the competitive landscape of industrial parks in China, noting the increasing number of parks and the diversification of industries within them [11][12]. - The fund's assets are located in Shenzhen, a region characterized by a high concentration of technology and service industries, which supports stable tenant relationships [10][11]. - The report indicates a trend towards upgrading business models in industrial parks, shifting from mere space provision to creating integrated industrial ecosystems [12][13].

Group 1 - The REITs market is expanding, with the number of public REITs reaching 66 by the first quarter of 2025, indicating a robust growth trajectory since entering a normalized issuance phase in 2024 [1][2] - The public REITs market has shown a stark contrast between its thriving secondary market and the sluggish performance of the equity market, contributing to the diversification of the capital market [1][2] - The total issuance scale of the 66 listed public REITs has reached 17.3 billion, with 12 additional public REITs awaiting issuance [2] Group 2 - The first quarter of 2024 saw a record-breaking subscription for newly issued public REITs, with some offerings being oversubscribed by over 222 times, setting a historical high [2] - The distribution of existing public REITs shows that park infrastructure REITs lead with 17 products, followed by transportation infrastructure REITs with 13 and warehousing logistics REITs with 8 [2] Group 3 - The Shenzhen Stock Exchange plans to enhance its regulatory framework for REITs, focusing on asset management and encouraging fund managers to improve distribution frequency to boost investor returns [3] - The first public REIT to apply for a second round of fundraising is the Bosera招商蛇口产业园 REIT, which has shown stable investment operations since its listing [3][4] Group 4 - The public REITs market is expected to continue expanding, with increasing activity and interest from institutional investors, including banks and insurance companies, due to their high dividend yields and relatively low risk [4][6] - The weighted dividend yield of REITs currently stands at 4.25%, significantly higher than the 1.66% yield of ten-year government bonds, making them an attractive investment option [6] Group 5 - As of April 23, 2024, the CSI REITs total return index has yielded nearly 10% year-to-date, with several REITs experiencing gains exceeding 30% [5] - A total of 32 public REITs have distributed dividends this year, amounting to 2.67 billion, compared to only 1.9 billion from 19 REITs during the same period last year [6][7] Group 6 - The highest dividend distribution among public REITs was from the 中信建投国家电投 REIT, amounting to 416 million, followed by 中金安徽交控 REIT and 平安宁波交投 REIT with 308 million and 260 million respectively [7] - Energy-related REITs are noted for their relative scarcity and strong compliance, with high cash flow distribution rates, enhancing their market appeal [8]

Core Viewpoint - The company, Bosera Fund Management Co., plans to apply for a second round of fundraising for the Bosera China Merchants Shekou Industrial Park Closed-End Infrastructure Securities Investment Fund, aiming to acquire new infrastructure projects [1][2]. Group 1: Fund Performance and Structure - The fund was established on June 7, 2021, and its first issuance was listed on June 21, 2021, with the first expansion completed on June 16, 2023 [1]. - As of December 31, 2024, the fund's net asset value per share is 2.2227 yuan, with a total of 1,421,130,866 shares and total assets of 3,686,882,315.25 yuan [1]. - The fund has conducted eight distributions, with a total dividend amount of 352,633,383.71 yuan, representing 99.02% of the cumulative distributable amount [1]. Group 2: New Infrastructure Projects - The new infrastructure projects to be acquired include the Guangming Project (Phase II) and the Nanyou Project, both located in Shenzhen [2]. - The Guangming Project consists of multiple buildings designated for research and development offices, research factories, and supporting dormitories [2]. - The Nanyou Project includes warehouses and auxiliary buildings in the Qianhai area of Shenzhen, enhancing asset diversification and reducing risks associated with single areas or parks [2]. Group 3: Strategic Implications - The largest fund holder, China Merchants Shekou, initially held 32% of the fund's shares, and the expansion will further promote a virtuous cycle of "development-operation-capitalization-reinvestment" [3]. - The expansion aligns with the company's strategy of combining light and heavy development, enhancing the full lifecycle development model of "investment, financing, construction, management, and exit" [3]. - The fundraising will be conducted through unspecified and specified offerings, with details to be announced later [3].