Group 1 - In July 2025, the total bond financing for real estate companies reached 71.39 billion yuan, a year-on-year increase of 90.3%, indicating a continuous growth trend [1] - The issuance of credit bonds by private real estate companies showed signs of recovery, with some companies achieving their first bond issuance of the year, and the issuance period being extended [1][2] - The financing structure revealed that credit bond financing amounted to 45.65 billion yuan, a year-on-year increase of 104.8%, accounting for 64.0% of all types of bond financing [1] Group 2 - Notably, in July, private or mixed-ownership real estate companies saw a recovery in credit bond financing, with companies like Greentown China and New City Holdings successfully issuing a total of 3.01 billion yuan in credit bonds [2] - The average issuance term for credit bonds was 3.79 years, with a focus on long-term bonds of 1-3 years and over 3 years, which helps improve the debt structure of companies [2] - The total issuance of asset-backed securities (ABS) in July was 25.74 billion yuan, a year-on-year increase of 90.0%, with commercial mortgage-backed securities (CMBS) accounting for the highest proportion at 41.5% [2] Group 3 - The average financing interest rate for real estate company bonds in July was 2.54%, a decrease of 0.24 percentage points year-on-year and 0.51 percentage points month-on-month [3] - Among the companies, five had an average credit bond interest rate below 2%, with China Merchants Shekou Industrial Zone Holdings Co., Ltd. having the lowest financing cost at 1.70% [3] - The overall bond financing data for July released positive signals, indicating an improvement in the financing environment, although further support for the credit recovery of quality private enterprises is still needed [3]

Report Title - ABS Investor Structure Changes - ABS Monthly Report (May 2025) [1] Report Industry Investment Rating - Not provided Core Viewpoints - In May 2025, the ABS issuance scale decreased, with the largest month - on - month decline in enterprise ABS. The trading volume and turnover rate of ABS decreased significantly, but the trading amount and turnover rate of credit ABS continued to grow. The holding proportions of major investors in different types of ABS changed, and the yields of ABS at all maturities declined while the spreads with medium - and short - term notes mostly continued to rise [2][3][4][5] Summary by Directory 1. Primary Issuance 1.1 Issuance Scale - In May 2025, the ABS issuance scale decreased by 28% month - on - month to 15.1533 billion yuan. Credit ABS, enterprise ABS, and ABN issuance scales were 2.3905 billion yuan, 8.321 billion yuan, and 4.4418 billion yuan respectively, with month - on - month declines of 2%, 35%, and 23% [2][9]. - Among credit ABS, the issuance scale of micro - enterprise loan ABS increased the most, and the issuance scale of non - performing loan ABS had a fast growth rate of 761%. In enterprise ABS, the issuance scales of shantytown renovation/affordable housing ABS and CMBS/CMBN increased the most, while the issuance scale of quasi - REITs decreased the most. In ABN, the issuance scale of general small - loan creditor's rights ABS increased more, and the issuance scale of preferred limited partnership shares ABS decreased the most [9] 1.2 Issuance Term and Interest Rate - In May 2025, the terms of newly issued ABS were mostly 9M - 1 year and 1 - 2 years, and the weighted coupon rate continued to decline. The weighted average coupon rate was 2.01%, a decrease of 6.68bp compared to April [11]. - For different types of ABS, the weighted terms of newly issued credit ABS, enterprise ABS, and ABN all increased compared to the previous month, and their weighted interest rates all decreased [11] 2. Secondary Trading - In May 2025, the trading volume and turnover rate of ABS decreased significantly, but the trading amount and turnover rate of credit ABS continued to grow. The monthly trading amount of ABS was 11.8623 billion yuan, a decrease of 27.09% compared to April. The monthly turnover rate of ABS was 3.6%, a decrease of 1.4 percentage points compared to April. ABN was the most actively traded ABS product type [3][17] 3. Investor Structure - In credit ABS, commercial banks and non - legal person products were the main holders, with holding proportions of 69% and 15% respectively. The holding proportions of commercial banks and non - legal person products decreased, while those of securities companies and overseas institutions increased [4][20] - In ABN, non - legal person products and commercial banks held the most, with holding proportions of 62% and 28% respectively, both decreasing compared to the previous month [4][20] - For enterprise ABS, trust institutions and bank self - operations were the main investors in Shanghai Stock Exchange enterprise ABS, with holding proportions of 31% and 26% respectively, both decreasing. In Shenzhen Stock Exchange enterprise ABS, general institutions and trust institutions were the main investors, with the holding proportion of general institutions increasing and that of trust institutions slightly decreasing [4][25] 4. Yield and Spread - In May, the yields to maturity of ABS at all maturities declined. The yields to maturity of 1 - year, 3 - year, 5 - year, and 10 - year AAA - rated asset - backed securities decreased by 7.6bp, 6.1bp, 4.9bp, and 4.4bp respectively compared to April 30, 2025 [5][27] - The spreads between ABS yields to maturity and medium - and short - term notes mostly continued to rise. The spreads of 1 - year, 3 - year, 5 - year, and 10 - year AAA - rated asset - backed securities with the same - maturity and same - rating medium - and short - term notes changed to 5.4bp, - 10.1bp, 0.0bp, and - 1.3bp respectively [5][27]

Financing Overview - In May, the total bond financing for real estate companies reached 28.88 billion, a year-on-year increase of 23.5% [1] - The financing structure shows that credit bond financing was 11.17 billion, up 5.8% year-on-year, accounting for 38.7% of the total; ABS financing was 17.71 billion, up 38.1% year-on-year, making up 61.3% [1][3] - The average bond financing interest rate in May was 2.35%, down 0.43 percentage points year-on-year and down 0.41 percentage points month-on-month [1][4] Year-to-Date Financing Data - From January to May 2025, the total bond financing for real estate companies was 196.47 billion, a year-on-year decrease of 18.5% [3] - The financing structure during this period included credit bond financing of 120.98 billion (61.6%), overseas bond financing of 3.59 billion (1.8%), and ABS financing of 71.91 billion (36.6%) [3] Credit Bond Issuance - In May, the issuance of credit bonds saw slight growth, primarily from central and state-owned enterprises [3] - Notable issuances included Poly Development at 3 billion, China Overseas at 1.5 billion, and Jianfa at 1.2 billion [3][5] - The average issuance term for credit bonds was 4.08 years, with a focus on 1-3 year and over 3-year bonds [3] ABS Issuance - The ABS issuance scale in May was 17.71 billion, showing growth compared to the previous month [3] - CMBS/CMBN represented the largest category of asset securitization products, accounting for 56.0%; followed by affordable housing at 20.8%, supply chain ABS at 19.9%, and REITs at 3.3% [3] Interest Rate Trends - The average interest rate for credit bonds was 2.29%, down 0.44 percentage points year-on-year and down 0.42 percentage points month-on-month [4] - The average interest rate for ABS was 2.38%, down 0.43 percentage points year-on-year and down 0.52 percentage points month-on-month [4]