I. Market Overview

Last week (07/03 - 07/07), the three major indices fluctuated and closed down. The Shanghai index rose and then fell, falling below 3,200 points. The GEM index led the decline. The decline was over 2%, and the Shenzhen Index fell 1.25%. Volume and energy have been further reduced, with an average daily turnover of less than 900 billion yuan. The cumulative net outflow of capital to the north last week was 9.160 billion yuan.

Overseas stock markets generally did not perform well last week. In terms of Hong Kong stocks, the Hang Seng Index fell by a cumulative total of 2.91% over the week; the Hang Seng Technology Index was more resilient, down 0.26% weekly; on the US stock side, the S&P 500 index fell 1.16% in a week, and the NASDAQ fell 0.92%.

In terms of the industry sector,The industries with the highest increases last week were: integrated finance (+3.78%), coal (+3.41%), and automobiles (+3.00%); the biggest declines were: media (-4.73%), computers (-2.90%), power equipment and new energy (-2.41%).

In terms of the conceptual sector,Germanium gallium, air transport, automobiles, shipping, etc. performed well, while online games, Chinese corpus, traditional Chinese medicine, health insurance payment reform, and smart healthcare performed poorly.

Judging from the fund's performance,Funds heavily invested in the tourism, coal, automobile, and transportation sectors performed the highest, while themed funds represented by gaming, photovoltaics, traditional Chinese medicine, and cloud computing underperformed.

II. Capital flow

The broad-based capital layout began to diverge last week. The top net inflows were ETFs tracking broad-based indices such as Sci-Tech Innovation 50, China Securities 1000, Shanghai and Shenzhen 300, and the GEM Index, as well as medical ETFs. The highest net outflows of capital were ETFs tracking the CSIC 1000 index and ETFs tracking the CSIC 500, SSE 50, and military industry indices.

The total net outflow of the five index ETFs was about 600 million yuan last week, of which the Science Innovation 50 ETF had a net inflow of 2.8 billion yuan, while the China Securities 500 ETF and the Shanghai Securities 50 ETF had net outflows of 2.6 billion yuan and 2.5 billion yuan respectively.

In terms of industry-themed ETFs, medical ETFs, pharmaceutical ETFs, and alcohol ETFs had net capital inflows of 1 billion yuan, 476 million yuan, and 761 million yuan respectively.

In terms of capital reduction, technology-led ETFs, central enterprise technology ETFs, and military ETFs had net outflows of 600 million yuan, 556 million yuan, and 523 million yuan respectively.

III. The rise and fall rate of ETFs

In terms of ETFs, out of 806 ETFs in the market last week, 226 ETFs had positive weekly gains, while 541 ETFs had negative weekly gains.

The net worth of ETFs tracking indices such as soybean meal futures, tourism, and coal energy increased the most last week. The performance of ETFs with the theme of intelligent driving was also good

The AI application side pulled back across the board last week. Gaming ETFs and media ETFs had the highest weekly declines, while all three game-themed ETFs dropped more than 9% weekly. PV ETFs also did not perform well, with a cumulative decline of more than 5% last week. Traditional Chinese medicine ETFs showed a large correction, with a cumulative decline of 4% last week.

IV. Changes in fund shares

There were mixed increases and decreases in the shares of the five major index ETFs last week. The Sci-Tech Innovation 50 ETF, the GEM ETF, and the Shanghai and Shenzhen 300 ETF increased by 2,651 million shares, 557 million shares, and 164 million shares, respectively.

Meanwhile, the Shanghai Stock Exchange 50 ETF and the China Securities 500 ETF decreased by 990 million shares and 431 million shares, respectively. The total reduction of the China Securities 1000 enhanced ETF, the China Securities 1000 index ETF, and the 1000 enhanced ETF was 1,847 billion shares.

The Sci-Tech Innovation 50 Index fell below 1,000 points last week, hitting a new low in more than three months. Funding was cut through ETFs, and the share of the largest Sci-Tech Innovation 50 ETF in the market exceeded 66.6 billion shares, a record high.

In terms of industry-themed ETFs, there were 29 funds whose shares increased by more than 100 million shares last week. Among them, the shares of medical ETFs, pharmaceutical ETFs, and alcohol ETFs increased by 2.38 billion shares, 1,119 billion shares, and 882 million shares, respectively

In terms of capital outflows, the shares of 21 industry-themed ETFs fell by more than 100 million shares last week. The shares of technology-led ETFs, central enterprise technology ETFs, and military ETFs decreased by 598 million shares, 561 million shares, and 462 million shares, respectively.

5. Newly released products

6. Fund Hot News

The Securities Regulatory Commission announced the fee reduction measures for active equity funds, and the management rate and custody rate shall not exceed 1.2% and 0.2%, respectively

According to the official website of the Securities Regulatory Commission on July 8, the rate level of active equity funds will be reduced from now on. The management fee rate and escrow rate for newly registered products will not exceed 1.2% and 0.2% respectively; some leading institutions have announced that their stock product management fees and escrow rates will be reduced to 1.2% and 0.2% respectively; the remaining stock product management fees and custody fees will be reduced to 1.2% and 0.2% respectively by the end of 2023.

The “unspoken rules” of fund stock trading commissions have come to an end

The commission rate for some funds to trade stocks is still around 0.08%, far below 0.03% for retail investors. This kind of “unspoken rule” has been around for a long time and is a cancer that harms the interests of fund investors. As the regulatory authorities state that commission rates for public fund securities transactions will gradually be regulated before the end of the year, it means that this kind of “unspoken rule” has also come to an end.

The regulations on the supervision and administration of private equity funds were officially issued and will take effect on September 1

The “Regulations on the Supervision and Administration of Private Equity Funds” were officially issued and will take effect on September 1, 2023. The Regulations consist of seven chapters and 62 articles, focusing on five aspects.