Group 1: Investment Rating - The report does not provide an overall investment rating for the bond industry. Group 2: Core Views - Market fluctuations have caused some disturbances to the liability side, but overall liability side stability remains acceptable. ETFs and "fixed income +" funds have seen small net outflows, but the pace has slowed compared to early September, and insurance funds still focus on allocation. [3][8] - In a volatile market, the operating strategies of public - offering institutions have diverged. Low - volatility strategy funds aiming for absolute returns may have reduced their allocations to high - price bonds and convertible bonds in general, while high - volatility tolerance products and relative return funds can increase allocations to some convertible bond issues with sufficient corrections and fundamental support. [3][9] - Different - priced convertible bonds have different performances and strategies. High - price convertible bonds have proven their upward logic, and for high - tolerance funds, holding is better than trading. Medium - price convertible bonds are the core of the "attack - and - defense" strategy, and bonds with reasonable price structures and catalytic expectations should be selected. The valuation of low - price (partial - debt) convertible bonds has reached an extreme level, and caution should be exercised. [2][3][9] - In October, investors are advised to pay attention to Shangyin Convertible Bond, Shouhua Convertible Bond, Jingke Convertible Bond, Kangtai Convertible Bond 2, Baolong Convertible Bond, Keshun Convertible Bond, Yingbo Convertible Bond, Huaya Convertible Bond, Wankai Convertible Bond, and Luwei Convertible Bond. [3][13] Group 3: Summary by Directory 1. Convertible Bond Weekly Thinking - The convertible bond market has shown limited adjustments and slight recoveries. In the past week, the ChinaBond Convertible Bond Index rose by about 1 percentage point, and the 100 - yuan premium rate also slightly recovered. [8] - The liability side of convertible bonds remains stable. Although there are small net outflows from some funds, the overall situation is improving, and insurance funds still focus on long - term allocation. [3][8] - Public - offering institutions' strategies have diverged. Low - volatility funds reduce positions, while high - volatility tolerance funds increase positions in some high - quality bonds. [3][9] - Different - priced convertible bonds have different characteristics and strategies. High - price bonds are suitable for holding, medium - price bonds need comprehensive screening, and partial - debt bonds should be treated with caution. [2][3][9] 2. Convertible Bond Market Tracking 2.1 Convertible Bond Market Conditions - Different convertible bond indexes have different performances in different time periods. For example, the Wind Convertible Bond Energy Index has a 0.14% increase in the past week, - 0.91% in the past two weeks, etc. [14] 2.2 Convertible Bond Issues - The report shows the top ten and bottom ten convertible bond issues in terms of price changes in the past week, but specific issue names are not provided in the text. [18] 2.3 Convertible Bond Valuations - The report presents the valuation trends of different types of convertible bonds (debt - type, balanced, and equity - type) through charts, but specific data analysis is not provided in the text. [21][26][28] 2.4 Convertible Bond Prices - The report shows the proportion trends of high - price convertible bonds and the median price trends of convertible bonds through charts, but specific data analysis is not provided in the text. [24][25][31]

Core Viewpoint - The company is actively responding to industry challenges by adjusting pricing strategies and focusing on healthy competition, while also planning for future growth through diversification and market expansion [2][3]. Group 1: Industry Response and Market Dynamics - The company is advocating for a "de-involution" approach in the industry, promoting healthy competition centered around product and service quality [2]. - Many small waterproof enterprises are facing declining market shares due to factors like centralized procurement and regulatory compliance, leading to increased operational pressures and market exits [2]. - Leading companies like the company are enhancing their market share through transformation and channel optimization, solidifying the competitive landscape [2]. Group 2: Future Development Plans and Revenue Structure - The company's future plans focus on three main areas: deepening its core waterproof business, advancing the "Concentric Circle" strategy to leverage technical advantages, and exploring new materials and technologies through an acquisition fund [3]. - The revenue structure is set to evolve, with retail business expected to account for 30%, overseas business for 20%, and construction-related and concentric circle business for 50% in the coming years [3]. Group 3: Retail Business Growth and C-end Development - The growth in retail business is attributed to increased brand awareness, expanded distribution networks, and a diverse product offering, with over 80,000 distribution points established nationwide [4]. - The company aims for retail business to exceed 30% of total revenue by 2027, with plans to enhance retail network layout, brand building, and product diversification [4]. Group 4: Raw Material Prices and Profitability - Raw material prices have remained stable this year, with potential for future declines, contributing to improved gross margins due to revenue and product structure optimization [5]. - The entry of state-owned capital has positively impacted the company by providing business support and enhancing creditworthiness, alongside the establishment of an acquisition fund for exploring emerging sectors [5].

Group 1 - The China Securities Convertible Bond Index opened up by 0.02% [1] - Huafeng Convertible Bond rose over 4%, while Saili Convertible Bond increased by over 2% [1] - Other notable increases include Keshun Convertible Bond, Jincheng Convertible Bond, Ruida Convertible Bond, and Jiayi Convertible Bond, each rising over 1% [1] Group 2 - Yingji Convertible Bond fell by over 2%, with Zai22 Convertible Bond and Beilu Convertible Bond also declining by over 1% [1]