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UBS: A-shr Full-yr Corporate Profit Growth Rate ~6%; Anti-involution to Become LT Future Policy Direction
The 22nd UBS China Securities A-Share Conference officially commenced this week in Shenzhen. The current market sentiment has not shown signs of overheating, with active leveraged ...
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UBS: A-shr Full-yr Corporate Profit Growth Rate ~6%; Anti-involution to Become LT Future Policy Direction
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The 22nd UBS China Securities A-Share Conference officially commenced this week in Shenzhen.

The current market sentiment has not shown signs of overheating, with active leveraged funds and investors favoring small and mid-cap stocks and thematic investments, particularly in the AI-related sector, Meng Lei, China A-share Strategist at UBS Securities, said.

Related NewsImports YoY for Aug in China is 1.3%, lower than the previous value of 4.1%. The forecast was 3%.
It is predicted that the full-year corporate profit growth rate for A-shares in 2025 will reach approx. 6%, showing significant improvement compared to last year. From a global perspective, A-share valuations still possess a relative discount advantage.

Anti-involution will become the long-term direction of future policies, with the focus on promoting supply-demand matching and market clearance, Zhang Ning, senior China economist at UBS Investment Bank, said.

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