CITIC SEC pointed out that the Banks Sector performed well in December. Our analysis shows: on the sector level, the increase in passive funding is an important driving force, with active margin financing trading levels remaining relatively stable; on the individual stock level, banks with excess returns in the sector have shown stronger than industry performance in both net buying by passive funds and margin financing. Recently, bank stocks have performed well. In addition to the incremental funds shown by the aforementioned high-frequency data, there is a demand for absolute return funds due to the upcoming mid-term dividend season for banks, while relative return funds are adjusting their industry structure, collectively increasing the allocation in the Banks Sector. The current synergy of the economy, policy, and funding points towards high certainty returns in the Banks Sector, and it is expected that the valuation will continue to rise as the direction with the least resistance.