Core Viewpoint - The rare metals sector is experiencing fluctuations, with the China Rare Metals Theme Index down by 1.43% as of August 12, 2025, while the Rare Metals ETF has shown a significant increase of 7.68% over the past week [1][4]. Group 1: Market Performance - As of August 11, 2025, the Rare Metals ETF has reached a new high in scale at 1.404 billion yuan, ranking first among comparable funds [4]. - The ETF's latest share count is 2.098 billion, also a three-month high, maintaining its leading position among similar funds [4]. - The ETF has seen a net inflow of 102 million yuan recently, with a total of 131 million yuan over the past five trading days [4]. Group 2: Stock Performance - The top ten weighted stocks in the China Rare Metals Theme Index account for 55.85% of the index, with notable companies including Northern Rare Earth, Salt Lake Co., and Luoyang Molybdenum [5]. - The performance of individual stocks has varied, with Jiangte Electric leading with a 4.38% increase, while Yongshan Lithium and others have seen declines [1][7]. Group 3: Supply and Demand Dynamics - The suspension of the Jiangxia Lithium Mine by CATL is expected to reduce domestic lithium supply by 8,300 tons per month, impacting the market balance and potentially driving lithium prices up [5]. - The ongoing strong demand for lithium batteries and a decrease in overseas lithium salt imports are expected to sustain the upward trend in lithium prices [5].

Group 1: Liquidity and Performance of Rare Metal ETF - The Rare Metal ETF had an intraday turnover of 5.9%, with a transaction volume of 58.84 million yuan [3] - As of July 22, the average daily transaction volume over the past week reached 65.15 million yuan, ranking first among comparable funds [3] - The latest scale of the Rare Metal ETF reached 987 million yuan, marking a three-month high and also ranking first among comparable funds [3] - In the past week, the ETF's shares increased by 79.2 million, achieving significant growth and leading among comparable funds [3] - The latest net inflow of funds into the Rare Metal ETF was 5.79 million yuan, with a total of 39.52 million yuan net inflow over three out of the last five trading days [3] - Over the past year, the net value of the Rare Metal ETF increased by 43.98%, ranking 443 out of 2931 index equity funds, placing it in the top 15.11% [3] - Since its inception, the ETF's highest monthly return was 24.02%, with the longest consecutive monthly gains being three months and the longest gain percentage being 14.06% [3] - The average return during the rising months was 7.76%, and the annualized return over the past three months exceeded the benchmark by 7.14% [3] Group 2: Market Trends and Key Stocks - Domestic anti-involution measures are intensifying, combined with recent overseas fiscal and monetary easing, leading to strong overall performance in the metal sector [4] - The price of polysilicon has successfully continued to recover, boosting market confidence, which has spilled over to lithium carbonate and alumina [4] - Lithium, cobalt, and rare earths have found price bottoms from a cost perspective, with recent independent factors driving price increases: stricter mining rights reviews for lithium, export bans in the Democratic Republic of Congo for cobalt, and strategic enhancements and shortages for rare earths [4] - As of June 30, 2025, the top ten weighted stocks in the CSI Rare Metal Theme Index included Salt Lake Co., Northern Rare Earth, Luoyang Molybdenum, Huayou Cobalt, Ganfeng Lithium, Tianqi Lithium, China Rare Earth, Western Superconductor, Zhongmin Resources, and Xiamen Tungsten, collectively accounting for 54.07% [4] Group 3: Stock Performance - Salt Lake Co. decreased by 0.49% with a weight of 8.51% [6] - Northern Rare Earth increased by 3.32% with a weight of 8.47% [6] - Luoyang Molybdenum decreased by 0.22% with a weight of 7.95% [6] - Huayou Cobalt increased by 1.24% with a weight of 6.76% [6] - Ganfeng Lithium decreased by 0.79% with a weight of 5.12% [6] - Tianqi Lithium decreased by 0.71% with a weight of 4.46% [6] - China Rare Earth increased by 0.32% with a weight of 3.62% [6] - Western Superconductor increased by 0.10% with a weight of 3.16% [6] - Zhongmin Resources increased by 0.31% with a weight of 3.13% [6] - Xiamen Tungsten decreased by 0.86% with a weight of 2.68% [6] - Investors can also participate in the rare metal sector through the Rare Metal ETF linked fund (014111) [6]

Group 1: Liquidity and Scale of Rare Metal ETFs - The rare metal ETF had an intraday turnover of 3.5%, with a transaction volume of 30.73 million yuan [3] - Over the past week, the average daily transaction volume of the rare metal ETF reached 37.71 million yuan, ranking first among comparable funds [3] - In the past year, the rare metal ETF's scale increased by 16.82 million yuan, also ranking first among comparable funds [3] - The latest margin buying amount for the rare metal ETF reached 2.08 million yuan, with a margin balance of 21.28 million yuan [3] Group 2: Performance and Returns - As of July 10, the net value of the rare metal ETF increased by 30.36% over the past year [3] - The highest monthly return since inception was 24.02%, with the longest consecutive monthly gains being 3 months and the longest gain percentage being 14.06% [3] - The average return during the rising months was 7.76% [3] Group 3: Industry Insights and Recommendations - The lithium sector is currently in a bottom oscillation phase, with solid-state battery industrialization accelerating and energy storage demand expected to surge [3] - The new energy storage installations are projected to grow by 140% year-on-year in 2024, which may serve as a core catalyst [3] - Companies with strong cost control in lithium extraction from salt lakes and those with overseas resource layouts are recommended for attention [3] Group 4: Rare Earth Market Dynamics - The implementation of the Rare Earth Management Regulations is expected to enhance compliance capacity concentration, with a growth rate of 5.9% in 2024 [4] - The supply-demand gap for praseodymium and neodymium oxide is anticipated to widen starting in 2025, with a focus on light rare earth leading enterprises [4] - The strategic position of rare earths is significant due to U.S. tariff policies, which may positively impact company performance [4] Group 5: Key Stocks in Rare Metal Sector - The top ten weighted stocks in the CSI Rare Metal Theme Index include Salt Lake Co., Northern Rare Earth, Luoyang Molybdenum, and others, accounting for 54.07% of the total weight [4] - Notable stock performances include Northern Rare Earth with a 9.85% increase and Salt Lake Co. with a 0.86% increase [6] Group 6: Investment Opportunities - Investors can also participate in the rare metal sector through the Rare Metal ETF linked fund (014111) [7]

Group 1: Liquidity and Performance of Rare Metal ETF - The rare metal ETF had an intraday turnover of 1.2%, with a transaction value of 10.24 million yuan [3] - Over the past year, the average daily transaction value of the rare metal ETF was 36.11 million yuan, ranking first among comparable funds [3] - The net asset value of the rare metal ETF increased by 13.41% over the past year [3] - The highest monthly return since inception was 24.02%, with the longest consecutive monthly increase being 3 months and an average monthly return of 7.60% [3] Group 2: Growth and Valuation of Rare Metal ETF - The rare metal ETF's scale grew by 5.45 million yuan over the past year, also ranking first among comparable funds [3] - The latest financing buy-in amount reached 1.70 million yuan, with a financing balance of 25.74 million yuan [3] - The valuation of the index tracked by the ETF is at a historical low, with a price-to-book ratio (PB) of 2.21, lower than 84.84% of the time over the past five years, indicating strong valuation attractiveness [3] Group 3: Export Controls and Market Dynamics - Since 2023, China has implemented export controls on various rare metals, leading to significant price increases for most of these metals [4] - The demand for rare earth materials in domestic sectors such as new energy vehicles and air conditioning is expected to grow at rates of 37% and 19%, respectively, by 2025 [4] - The domestic rare earth market may be entering a destocking phase, with overseas price increases likely to drive domestic prices up [4] Group 4: Top Holdings in Rare Metal Index - The top ten weighted stocks in the rare metal index include Salt Lake Co., Northern Rare Earth, and others, accounting for 54.9% of the index [4] - The individual weightings of these stocks vary, with Salt Lake Co. at 9.04% and Northern Rare Earth at 8.25% [6]

Core Insights - The rare metals theme index has shown a positive trend, with a 0.58% increase as of June 9, 2025, and notable gains in constituent stocks such as Zhongke Magnetic Materials (up 11.96%) and Beikong Technology (10% limit up) [1] - The rare metals ETF has experienced significant trading activity, with a turnover of 2.79% and a transaction volume of 25.27 million yuan, ranking first among comparable funds in terms of average daily trading volume over the past year [4] - The valuation of the index tracked by the rare metals ETF is at a historical low, with a price-to-book ratio (PB) of 2.18, indicating strong value for investors [4] Market Dynamics - The demand for medium and heavy rare earths in civilian applications is increasing globally, driven by industries such as robotics and electric vehicles, as stated by the Ministry of Commerce [4] - Since the implementation of partial rare earth export controls in April, the export volume of rare earth permanent magnets has decreased by over 50% month-on-month, reaching a historical low in the past five years [4][5] - Analysts suggest monitoring the issuance of rare earth quotas in China and the demand situation overseas as export controls may ease, with expectations of moderate price increases for rare earths benefiting the equity sector [5] Investment Opportunities - The top ten weighted stocks in the rare metals theme index account for 54.9% of the index, including companies like Salt Lake Co., Northern Rare Earth, and Ganfeng Lithium [5] - Investors can also participate in the rare metals sector through the rare metals ETF linked fund (014111) [5]

Group 1 - The rare metals ETF has shown significant liquidity with an intraday turnover of 1.26% and a transaction volume of 11.3755 million yuan, leading in average daily trading volume over the past year at 35.5328 million yuan [3] - The rare metals ETF has experienced a notable scale increase of 36.6231 million yuan over the past week, ranking first among comparable funds, with a share growth of 12.6 million units [3] - The index tracked by the fund, the CSI Rare Metals Theme Index, is currently at a historical low valuation with a price-to-book ratio (PB) of 2.16, which is lower than 87.41% of the time over the past five years, indicating strong valuation attractiveness [3] Group 2 - Following China's implementation of export controls on medium and heavy rare earths, overseas prices have surged, leading to a widening price gap between domestic and international markets [3] - Domestic rare earth prices are believed to be at the bottom of a major cycle, with expectations for a continuous upward shift in price levels due to the current destocking phase and overseas demand for replenishment [3] - The top ten weighted stocks in the CSI Rare Metals Theme Index account for 54.9% of the index, including companies like Salt Lake Co., Northern Rare Earth, and Ganfeng Lithium [4]

Group 1 - The core viewpoint highlights the significant growth and attractiveness of the rare metals ETF, with a notable increase in trading volume and fund inflows, indicating strong investor interest [2] - The rare metals ETF has seen a weekly scale increase of 25.42 million yuan, ranking first among comparable funds, and a share increase of 13.95 million shares, also leading in its category [2] - The fund has recorded a net inflow of 7.29 million yuan recently, accumulating a total of 11.36 million yuan over the past nine trading days, reflecting robust demand [2] Group 2 - The underlying index for the ETF, the CSI Rare Metals Theme Index, is currently valued at a historical low with a price-to-book ratio (PB) of 2.16, which is below 87.57% of the time over the past five years, indicating strong valuation appeal [2] - Since 2020, prices for minor metals such as antimony, tungsten, germanium, and rare earths have been on a systematic rise, leading to improved profitability for companies in the sector [2] - The top ten weighted stocks in the CSI Rare Metals Theme Index account for 54.9% of the index, with key players including Salt Lake Co., Northern Rare Earth, and others, providing a concentrated investment opportunity [3]