A-shares are resolutely willing to rebound, TMT counterattacks across the board, trillion-level expectations detonate the low-altitude economy, and the national defense and military ETF (512810) touched up 4.7% intraday
The "3,000-point defense battle" was quickly withdrawn, and today (March 28, 2024) the market was resolute in its willingness to rebound, the three major indexes collectively closed up, more than 4,800 shares rose in the two cities, and northbound funds turned around and increased their positions by 2.335 billion yuan.
The core assets continued to be hot, and the core leader broad-based A50 ETF Huabao (159596) increased rapidly in intraday trading, with the trading volume exceeding 200 million lots first, accompanied by on-site premium trading, showing that the buying funds were relatively strong, and the closing turnover was still in the top 3 among the first batch of 10 CSI A50 ETFs!
The TMT sector, which has been adjusted for many days, ushered in a comprehensive counteroffensive today, with AI, Sora and other directions collectively rising sharply, and funds pouring in. Inspur Information ranked first in A-share turnover with 7.628 billion yuan, and related concept stocks such as Industrial Fortune Union, Sugon, and iFLYTEK dominated the top of A-share turnover.
Image source: Wind
The price of the representative ETF - Big Data Industry ETF (516700) rose by more than 6% at one point and still rose by more than 5% at the close, while the information innovation ETF (562030) and the Fintech ETF (159851) both rose by more than 3%.
Yesterday, the Ministry of Industry and Information Technology and other four departments issued the "General Aviation Equipment Innovation and Application Implementation Plan (2024-2030)", which proposes that by 2030, general aviation equipment will be fully integrated into all fields of people's production and life, becoming a strong driving force for low-altitude economic growth, and forming a trillion-level market scale. Boosted by the blockbuster positives, the price of the National Defense ETF (512810) touched 4.7% higher intraday.
Image source: Wind
The short-term trend fluctuates greatly, but from the perspective of the longer term, the barbell strategy of "core asset dividends on the one hand and technology growth on the other" is still the mainstream allocation view.
CITIC Securities said that there have been three major changes in the current market ecology, which determines that the spring and summer market will show three major characteristics, and the barbell structure composed of the theme of "dividend + new quality productivity" will still run through the whole round of spring and summer market.
The structure of capital supply and demand has been reversed in stages, and the pattern of capital has changed by the backing of Huijin, the change of financing rhythm and corporate repurchases, and the market has transformed into an incremental market, which has promoted the overall upward movement of the A-share center.
Investors are more in pursuit of certainty, listed companies strengthen dividends to improve the certainty of cash returns, and the "new quality productivity" policy has been launched to improve the certainty of theme catalysis, both of which jointly strengthen the barbell structure.
The power of active and quantitative has rebalanced, and the pricing power of subjective longs has strengthened, and quant is expected to follow the subjective longs to return to small- and mid-cap stocks to drive their valuation repair.
The following focuses on the trading and fundamentals of the three sectors of national defense and military industry, information innovation and financial technology.
1. [Trillion-level expectations are full, and the low-altitude economy is in full swing!] The national defense and military industry led the two cities, and the national defense and military industry ETF (512810) touched 4.7% higher intraday!]
The national defense and military industry sector suddenly broke out today, and the increase ranked first among the 31 Shenwan first-class industries! The haze of the previous 5 consecutive days of decline was swept away!
The popular national defense and military ETF (512810) rose all the way after the opening, touching 4.7% higher in the afternoon, and the price in the market narrowed due to the weakening of the market, and the price in the market finally closed up 3.89%, ending the 5 consecutive yin!
It is worth noting that yesterday's national defense and military ETF (512810) received a net subscription of nearly 2 million yuan in the heavy fall range, and the funds successfully reaped today's gains. The return of funds against the market may be an important signal for the sector to start a rebound.
Image source: Wind
Why did the national defense and military industry suddenly break out? The core tipping point of the low-altitude economy! Related concept stocks dominate the list of gainers, Zhongjian Technology, Guanglian Aviation, China UAV, Zhongke Xingtu, Aileda and other 5 shares rose by more than 10%, and 3 shares such as Fiberhome Electronics, Yingliu Shares, and Sichuang Electronics blocked the price limit!
Chart: The top 10 constituent stocks of the underlying index of the National Defense and Military ETF (512810) rose by the top 10
Image source: Wind
On the news side, the low-opening economy ushered in a blockbuster policy. On March 27, the Ministry of Industry and Information Technology and other four departments issued the "Implementation Plan for the Innovative Application of General Aviation Equipment (2024-2030)", which proposed:
1) By 2027, the mainland's general aviation equipment supply capacity and industrial innovation ability will be significantly improved, the basic support system of modern general aviation will be basically established, the efficient integration of industrial ecology will be initially formed, the general aviation public service equipment system will be basically improved, and the new general aviation equipment with unmanned, electrified and intelligent technical characteristics will be commercially applied in the fields of urban air transportation, logistics and distribution, and emergency rescue.
2) By 2030, a new model for the development of the general aviation industry characterized by high-end, intelligent and green will be basically established, supporting and guaranteeing the "short-distance transportation + electric vertical take-off and landing" passenger transport network, the "trunk-branch-end" UAV distribution network, and the safe and efficient operation of low-altitude production operations to meet the needs of workers and farmers, and the general aviation equipment will be fully integrated into all fields of people's production and life, forming a trillion-level market scale.
Tianfeng Securities said that the release of the top-level document plans the overall goals, key tasks, and organizational guarantees, and the construction of the low-altitude economy is expected to be accelerated. According to the Civil Aviation Administration of China, the scale of the mainland's low-altitude economy will exceed 500 billion yuan in 2023 and is expected to reach 2 trillion yuan in 2030. Morgan Stanley also predicts that by 2040, the scale of the global low-altitude travel industry will reach one trillion US dollars, of which the mainland will occupy 1/4 of the global market.
Regarding the outlook of the national defense and military industry sector, Soochow Securities said that it is optimistic about the rebound opportunities of the military industry. The new quality productivity activates the upstream supporting links, the downstream sub-system and the assembly are expected to relay, the medium-term adjustment of the equipment line orders have been signed, individual personnel changes do not affect the operation of the military system, in the military central enterprises in the medium and long-term heavy market value management, short-term organization to stabilize the stock price action catalyzed, in the management of private enterprises have announced the increase in holdings, the industry is expected to usher in a resurgence of growth and valuation repair of the continued market.
The low-altitude economy is expected to be full, and the national defense and military industry is expected to ride the wind! The investment tool focuses on the national defense and military industry ETF (512810). The fund tracks the CSI Military Index, and its constituent stocks comprehensively cover 80 subdivided leaders in the field of national defense and military industry, which is a powerful tool for one-click investment in the core assets of A-share military industry. It is worth noting that as of the end of 2023, the net value growth of the National Defense and Military ETF (512810) since its inception has been as high as 20.99% relative to the excess return of the performance benchmark!
Note: The annual performance of the defense and military ETF from its inception in 2016 to 2023 is -7.33%, -12.27%, -28.34%, 25.39%, 77.34%, 25.08%, -25.52%, -9.09%, and the returns of the performance comparison benchmark (CSI Military Index) for the same period are -3.44%, -18.37%, -27.25%, 22.02%, 67.91%, 14.28%, -25.74%, - 11.02%。
2. [Fasten your seatbelts! Xinchuang leads the rise, science and technology takes off!Wave information has a strong daily limit, and Xinchuang ETF Fund (562030) has risen as high as 4.23%!]
Today, the technology market has made a comeback, the computing power project has risen sharply again, the constituent stocks of the CSI Information Innovation Index have collectively risen, and the Inspur Information has a strong daily limit, 360 and Inspur Software have risen by more than 6%, Venustech has risen by more than 5%, and Foxit Software has also risen sharply.
Image source: Wind
In terms of capital, the computer sector of the CSI Xinchuang Index has received a net inflow of more than 8 billion yuan, ranking TOP1 among the 31 Shenwan first-class industries.
*Note: According to the first-level industry caliber of Shenwan, as of March 28, the computer industry accounted for 93.2% and the electronics industry accounted for 6.8% of the CSI Information Innovation Index.
Image source: Wind
In terms of popular ETFs, the Xinchuang ETF Fund (562030), which closely tracks the CSI Xinchuang Index, opened low and went high today, with the highest intraday price rising by 4.23%, and the late increase narrowed slightly, as of the close, it also rose 3.21%.
It is worth noting that the increase and turnover of Xinchuang ETF Fund (562030) today are the highest among similar Xinchuang competitive ETFs in the whole market!
Image Credit: Snowball
On the news side, the good news related to domestic computing power is dense, and the development path of "steady and steady" may be seen:
1. The "Server Operating System Migration Guide" was officially approved, which is expected to promote the development of domestic computing power
China Electronics Industry Standardization Technology Association officially approved the "Server Operating System Migration Guide" group standard project. The "Guide" was led by Inspur Information and jointly drafted by Alibaba Cloud and UnionTech Software. The "Guidelines" standardize the industrial ecology and promote the development of the domestic AI computing power industry chain through project approval.
2. The Beijing Data Basic System Pilot Zone was unveiled, adding 3500P super computing resources
On March 26, a grand unveiling ceremony was held in the Beijing Data Basic System Pilot Zone, and Beijing's Haidian District became the key expansion area of the Pilot Zone. At the unveiling ceremony, it was announced that the new 3500P super computing power resources will provide integrated computing power support and data services for large model R&D enterprises and the artificial intelligence industry, and effectively improve the supply efficiency of key resources in the field of artificial intelligence.
3. The "Source 2.0" large model of Inspur Information supports Intel's latest commercial AI PC
Recently, Inspur Information and Intel officially announced that Inspur Information's "Source 2.0 Series Basic Model" has been adapted to the latest Intel ® Core ™ Ultra processor platform, and the local inference speed has been increased by 100%.
Ping An Securities Research Report pointed out that domestic large models such as Kimi intelligent assistant and Tongyi Qianwen continue to iterate in the field of long text processing, and will help users open up their imagination of AI application scenarios in the future. We continue to be optimistic about the AIGC industry chain, especially the application potential of large models. It is recommended to focus on four directions:
1) In terms of computing power, such as Inspur Information, Sugon, etc.;
2) Algorithms, such as iFLYTEK;
3) Application scenarios, such as Thunderda;
4) Cyber security, e.g., Venustech.
In terms of policy, the National Development and Reform Commission said that it is necessary to take the development of new quality productive forces as the focus of research on the basic ideas of the "15th Five-Year Plan". Huajin Securities pointed out that at present, the development of "new quality productivity" has become the "number one priority", the path of developing new quality productivity is gradually concretized, and science and technology central enterprises shoulder the mission.
Investors who are optimistic about the development prospects of the information and innovation sector are recommended to pay special attention to the information innovation ETF fund (562030). According to public information, the Xinchuang ETF fund passively tracks the CSI Xinchuang Index (931247), focusing on the layout of 50 Xinchuang core stocks, covering the entire industry chain, bringing together the leading Xinchuang stocks, and the index has the characteristics of high growth and large space, and can invest in the core links of the Xinchuang industry chain with one click.
3. Fintech ETF (159851) closed up 3.12%, ending four consecutive negatives!
Today's financial technology has an all-out counteroffensive, sweeping away yesterday's decline. The CSI Fintech Thematic Index rose unilaterally in early trading and maintained a high level in the afternoon. As of the close, 58 constituent stocks were red across the board, Xinchen Technology rose by more than 12%, Geer Software rose by the limit, Yinzhijie rose by more than 8%, Advanced Digital Communication rose by more than 7%, and Sunline Technology, Digital Certification, Xin'an Century and other stocks closed up by more than 5%.
In terms of popular ETFs, the Fintech ETF (159851) followed the trend of the index and performed well throughout the day, with the price on the market rising by more than 4% at one point, and still rising 3.12% at the close, ending the four-day losing streak.
Image Credit: Snowball
On the news side, financial technology models continue to emerge: Step Star released China's first 100 billion parameter multimodal financial model - "Caiyue F1 Financial Model", and Du Xiaoman "Xuanyuan" released a series of financial models. How much imagination is there for AI models to intervene in finance?
From the perspective of stock business, AI empowers the growth of financial stock business. At present, leading AI financial companies are committed to empowering stock-based apps or financial terminals with large models, injecting AI capabilities into existing functions, realizing multi-scenario applications such as intelligent customer service, intelligent investment advisory, and intelligent risk, and improving the original customer stickiness, improving customer acquisition capabilities, and attracting customer flow through the diverse, convenient and efficient characteristics of large models, so as to promote the growth of the company's C-end and B-end stock business.
From the perspective of incremental business, AI has given rise to the development of new financial services. The continuous launch and continuous improvement of the financial model is expected to give birth to new business scenarios and applications in the financial field, promote the generation of new businesses in the financial industry, and promote the continuous development of the financial industry. Financial AI-related products will gradually enter the charging stage and become a new increment in the industry.
Soochow Securities said that the traditional financial business is highly correlated with the market, and AI intervention may form a bottom upward trend. Traditional financial institutions such as securities companies and banks have a correlation between their business models and the capital market due to factors such as asset side, liability side, and risk management, and all businesses will be directly or indirectly affected by market factors. The involvement of AI in the development of traditional financial institutions or the formation of a bottom-up trend will bring about changes including business model innovation, improvement of operational efficiency, upgrading of risk management capabilities, and improvement of user experience.
From the perspective of performance, as of March 27, a total of 15 constituent stocks of the CSI Fintech Theme Index disclosed their annual report results, and from the perspective of net profit growth, Fortune Trend, Hang Seng Electronics, Radio and Television Express and other heavyweights have achieved positive year-on-year growth in net profit, which are 99.39%, 30.50%, and 18.39% respectively, and the overall performance is a steady growth.
In addition, as the domestic economy continues to recover, the trading volume of the securities market is expected to rebound from its low level, driving the performance growth of fintech companies.
Lay out AI+ finance, and pay attention to the active target of the market - financial technology ETF (159851). According to the data, the Fintech ETF (159851) passively tracks the CSI Fintech Theme Index, and the index is "elastic"! The largest industry is computers, accounting for about 80%, covering popular themes such as digital economy, ChatGPT, information innovation, and financial IT. The second largest industry is non-bank finance (mainly online brokers), accounting for nearly 14%.
Data and image sources: Shanghai and Shenzhen Stock Exchanges, Huabao Fund, Wind, etc., as of 2024.3.28.
Risk Warning: A50 ETF Huabao passively tracks CSI A50 Index, the base date of the index is 2014.12.31, released on 2024.12.2, National Defense ETF passively tracks CSI Military Index, the base date of the index is 2004.12.31, released on 2013.12.26, Xinchuang ETF fund passively tracks CSI Xinchuang Index, the index base date is 2017.12.29, released on 2012.12.21, and Fintech ETF passively tracks CSI Fintech Theme Index, the index base date is 2014.6.30, release date is 2017.6.22。 The composition of the index constituents is adjusted in accordance with the rules of the index, and its backtested historical performance is not indicative of the future performance of the index. The individual stocks mentioned in the article are only objectively displayed and enumerated as index constituent stocks, and are not recommended as any individual stocks, and do not represent the fund manager and fund investment direction. Any information appearing in this article (including but not limited to individual stocks, comments, forecasts, charts, indicators, theories, any form of expression, etc.) is for reference only, and investors shall be responsible for any investment behavior determined independently. In addition, any opinions, analysis and forecasts in this article do not constitute any form of investment advice to the reader, and the company shall not be liable for any direct or indirect losses arising from the use of the content of this article. Investors should carefully read the Fund Contract, Prospectus, Fund Product Key Facts Statement and other legal documents of the fund, understand the risk-return characteristics of the fund, and choose products that are suitable for their own risk tolerance. Past performance of a fund is not indicative of its future performance, and the performance of other funds managed by the fund manager does not constitute a guarantee of the performance of the fund. According to the assessment of the fund manager, the risk level of A50 ETF Huabao (159596), National Defense and Military ETF (512810), Xinchuang ETF Fund (562030) and Fintech ETF (159851) is R3-medium risk, and investors with balanced (C3) and above are suitable for matching opinions. Investors should pay attention to the suitability opinions issued by the fund managers in a timely manner when the distribution agencies (including fund managers, direct sales agencies and other sales agencies) conduct risk assessments of the above funds in accordance with relevant laws and regulations, and the opinions of each sales agency on the suitability are not necessarily the same, and the risk rating evaluation results of fund products issued by fund distribution agencies shall not be lower than the risk rating evaluation results made by fund managers. The risk-return characteristics of the fund and the risk level of the fund in the fund contract are different due to different factors to be considered. Investors should understand the risk and return of the fund, carefully select fund products based on their own investment objectives, horizon, investment experience and risk tolerance, and bear their own risks. The registration of the above funds by the China Securities Regulatory Commission does not indicate that it has made substantive judgments or guarantees on the investment value, market prospects and returns of the funds. Caution should be exercised when investing in funds.