Group 1 - As of May 31, 2025, the "old-for-new" program in five major consumer goods categories has driven sales of 1.1 trillion yuan, with approximately 175 million subsidies issued directly to consumers, enhancing consumer welfare and stimulating the consumption market [1] - The "old-for-new" initiative reflects the stability and potential of the Chinese economy, contributing to high-quality economic development [1] - On June 3, the A-share market experienced a pullback, with the A500 index showing stable performance and the A500 ETF (159339) averaging over 100 million yuan in daily trading volume over the past 10 trading days, indicating high market activity [1] Group 2 - The A500 index, which represents core A-share assets, covers 63% of total revenue and 70% of total net profit in the market with less than 10% of the total number of A-share stocks, making it a strong tool for long-term investment in China's capital market [1] - The A50 ETF (159592) tracks the A50 index, which includes large-cap leading stocks across various industries, benefiting from increased market concentration amid supply-side reforms [2] - The investment value of A-shares is gradually becoming apparent, particularly during the recovery of ROE and profit cycles, with record high dividends and buybacks since the beginning of the year [2]

Group 1 - The A-share market is experiencing increasing mid-term favorable factors, including a potential stabilization and recovery of ROE driven by improved net profit margins, stable turnover rates, and rising equity multipliers [1] - Broad-based valuation recovery of Chinese assets is ongoing, supported by three variables: technological innovation, the end of the rapid decline in real estate, and improved policy cycles, with the RMB appreciation providing additional attraction for asset allocation [1] - Core assets represented by A50, consumption, and finance have shown strong fundamental resilience over the past three years and are expected to lead the recovery in the current ROE cycle [1] Group 2 - A500 ETF (159339) tracks the A500 index, which covers 63% of total revenue and 70% of total net profit in the A-share market with less than 10% of the total number of stocks, making it a powerful tool for long-term investment in high-quality development trends [2] - A50 ETF (159592) tracks the A50 index, focusing on large-cap leading stocks benefiting from increased market concentration due to supply-side reforms, which are likely to attract more capital during earnings disclosure periods [2] - The A-share market demonstrates strong resilience due to relatively stable domestic macroeconomic conditions and ongoing policy support for key sectors, making it a potential safe haven for capital during global market volatility [2]

Group 1 - A-share market has seen over 200 billion yuan in market value management, with 266 companies proposing annual cash dividend plans totaling over 200 billion yuan as of March 25 [1] - The increase in cash dividends reflects a heightened willingness among listed companies to return value to investors, which is beneficial for stabilizing market expectations and attracting value investors [1] - A500 ETF (159339) experienced a significant rebound, with real-time trading volume exceeding 500 million yuan, indicating strong market interest [1] Group 2 - The government continues to support domestic demand and consumption, allocating 300 billion yuan in special bonds for the replacement of home appliances and consumer electronics, providing additional growth momentum for related industries [2] - The home appliance industry shows marginal improvement in profit expectations, while the consumer electronics sector is expected to benefit from AI technology advancements, presenting new growth opportunities [2] - A500 ETF (159339) offers a low-cost investment option with an annual management fee of 0.15% and a custody fee of 0.05%, making it an attractive tool for investors looking to access core A-share assets [2]