As A-share listed companies wrap up their half-year report disclosures, the interim dividend plans of state-owned banks, long a dominant force in dividend payouts, have become a key market focus. Data shows that as of September 24, 20 listed banks have disclosed their 2026 interim dividend plans, with cumulative cash dividends totaling 266.113 billion yuan, and 13 listed banks have raised their payout ratios compared to the same period last year. Among them, the six major state-owned banks collectively increased their interim dividend payout ratio from 30% to 31%, with total proposed dividends of 220.989 billion yuan, an increase of 16.332 billion yuan from the same period in 2025, up 7.98% year-on-year, setting record highs in both total cash dividends and payout ratios. (Data source: Listed company announcements, data as of 26/9/24)

The significant improvement in listed banks' dividend capacity is likely mainly attributable to the gradual confirmation of an inflection point in the sector's fundamentals. A research report from CITIC Securities pointed out that as China's economy shifts from a high-growth stage to high-quality development, the importance of optimizing banks' asset-liability structures has increased. Under the new circumstances, asset-liability management capabilities, diversified operational capabilities, and profit model transformation will constitute new investment value moats. Looking ahead to the third quarter and the full year, it is expected that core variables such as net interest margins and asset quality will remain stable, the operating landscape will be steady, and profit trends will be positive. From a medium-term perspective, the banking sector is entering the tail end of its risk cycle, the first derivative of ROE has already improved, and the absolute ROE level for the industry is expected to stabilize in the 8% to 9% range this year and next, with the potential for a revaluation from "high-dividend defensive asset" to "high-certainty equity asset." (Information source: CITIC Securities, "Banks | Financial Quality Improvement, Sustainable Sector Returns," published on 26/9/14. Institutional forecast data is for reference only, does not represent actual conditions, and does not serve as a guarantee or commitment for fund performance. Investors should pay attention to relevant investment risks.)

Along with the gradual improvement in the banking sector's fundamentals and enhanced dividend capacity, dividend-type assets with banks as core weighted industries are expected to gain more solid underlying support, driving varying degrees of increase in trading activity for some products under Huatai-PineBridge's "Dividend Full Range" lineup. According to Wind data, as of September 24, the single-day turnover of Dividend ETF Huatai-PineBridge (510880), Dividend Low Volatility ETF Huatai-PineBridge (512890), Hong Kong Stock Connect Dividend Low Volatility ETF Huatai-PineBridge (520890), Dividend Quality ETF Huatai-PineBridge (561630), and Dividend Low Volatility 50 ETF Huatai-PineBridge (561550) was 520 million yuan, 547 million yuan, 14 million yuan, 3 million yuan, and 2 million yuan, respectively, representing increases of 82.86%, 15.72%, 11.99%, 100%, and 239.71% compared to the previous trading day. (Data source: Wind, as of 26/9/23, the single-day turnover of the five products was 284 million yuan, 473 million yuan, 13 million yuan, 1 million yuan, and 1 million yuan, respectively.)

Under the influence of the overseas interest rate hiking cycle, the notable rise in global risk-free rates may have amplified volatility in interest-rate-sensitive technology growth sectors, while high-dividend assets, with relatively stable cash flows and lower sensitivity to discount rates, are expected to demonstrate resilience in a high interest rate environment. Meanwhile, the allocation behavior of long-term capital is also reinforcing this logic. Since the beginning of 2026, medium- and long-term funds such as social security, annuities, and insurance have collectively net purchased over 600 billion yuan of A-shares, with insurance funds' stock holdings reaching 4.1 trillion yuan, not only growing nearly 10% over the past year, but also showing a significant increase in the allocation ratio of dividend stocks, with FVOCI stocks (essentially representing dividend stocks) accounting for 6.3%, up 96bps from the beginning of the year. Against the backdrop of crowded technology stock trading and heightened volatility, high-dividend assets, due to their "bond-like" cash flow attributes and suitability for FVOCI accounts under new accounting standards, are expected to further reveal their allocation value. (Information source: China Finance Network, "Long-term Capital Accelerating into the Market Pushes Up Dividend Stocks; High-Dividend Assets Welcome Allocation Inflection Point," published on 26/9/25)

In terms of dividend yields, the dividend boom among constituent stocks has similarly driven the dividend yields of the underlying indices of Huatai-PineBridge's "Dividend Full Range" to continue climbing. As of the latest data, the one-year dividend yield of the Hang Seng Stock Connect High Dividend Low Volatility Index, the underlying index of Hong Kong Stock Connect Dividend Low Volatility ETF Huatai-PineBridge (520890), and the Stock Connect High Dividend (CNY) index, the underlying index of Hong Kong Stock Connect Dividend ETF Huatai-PineBridge (513530), reached 6.09% and 5.05%, respectively. The dividend yields of the Dividend Low Volatility Index, the underlying index of Dividend Low Volatility ETF Huatai-PineBridge (512890), the S&P China A-Share Large-Cap Dividend Low Volatility 50 Index, the underlying index of Dividend Low Volatility 50 ETF Huatai-PineBridge (561550), and the Dividend Index, the underlying index of Dividend ETF Huatai-PineBridge (510880), also reached the 4%+ level, showing a significant spread compared to the 1.68% yield of 10-year government bonds over the same period. (All data as of 26/9/24; the dividend yields of the Dividend Low Volatility Index, S&P China A-Share Large-Cap Dividend Low Volatility 50 Index, and Dividend Index were 4.45%, 4.31%, and 4.04%, respectively. The risk characteristics of investing in government bonds and stocks differ; investors should comprehensively consider investment risks when making investments.)

Against this backdrop, the Huatai-PineBridge "Dividend Full Range," characterized by relatively high dividend yields and relatively low valuations, is expected to become an important tool for facilitating capital allocation to A-share high-dividend assets. It is understood that the Huatai-PineBridge "Dividend Full Range" is produced by Huatai-PineBridge Fund. As one of China's first batch of ETF managers, the company has accumulated nearly 20 years of management experience in dividend-themed index investment. (The first ETF, Dividend ETF Huatai-PineBridge, was established on 06/11/17.) Among them, Dividend ETF Huatai-PineBridge (510880) is A-share's first dividend-themed index fund, with 422,900 holder accounts as of mid-2026; Dividend Low Volatility ETF Huatai-PineBridge (512890) had 1,483,800 holder accounts in its feeder fund; Central Enterprise Dividend ETF Huatai-PineBridge (561580) is A-share's first "central enterprise + dividend" dual-theme ETF; Hong Kong Stock Connect Dividend ETF Huatai-PineBridge (513530) and Hong Kong Stock Connect Dividend Low Volatility ETF Huatai-PineBridge (520890) focus on Hong Kong high-dividend assets, with the former adopting a QDII model that offers certain advantages in Hong Kong dividend taxes, and the latter incorporating a low-volatility factor that may provide more pronounced defensive attributes in the relatively volatile Hong Kong stock market; Dividend Quality ETF Huatai-PineBridge (561630) adopts a "dividend + quality" dual-factor stock selection strategy, expected to screen out high-dividend targets with solid fundamentals and superior profitability, with more prominent growth style; Dividend Low Volatility 50 ETF Huatai-PineBridge (561450) focuses on high-quality blue chips based on the "dividend + low volatility" dual factors. (Holder account data source: Fund periodic reports, data as of 26/6/30. The establishment dates of Dividend ETF Huatai-PineBridge, Dividend Low Volatility ETF Huatai-PineBridge, and Central Enterprise Dividend ETF Huatai-PineBridge are 2006/11/17, 2018/12/19, and 2023/5/18.)

Note: "Dividend Full Range" refers to Huatai-PineBridge's Dividend ETF Huatai-PineBridge, Dividend Low Volatility ETF Huatai-PineBridge, Hong Kong Stock Connect Dividend ETF Huatai-PineBridge, Central Enterprise Dividend ETF Huatai-PineBridge, Hong Kong Stock Connect Dividend Low Volatility ETF Huatai-PineBridge, Dividend Quality ETF Huatai-PineBridge, and Dividend Low Volatility 50 ETF Huatai-PineBridge. The risk levels of all the above products are R3. For distribution, the risk level assessed by the distributing institution shall prevail; different sales institutions may have different risk level evaluation results for funds based on investor suitability regulations. Fee notes: When investors subscribe to Dividend Low Volatility 50 ETF Huatai-PineBridge and Dividend Quality ETF Huatai-PineBridge fund shares, the subscription agent broker may charge a commission at a standard not exceeding 0.30%; when investors redeem Dividend Low Volatility 50 ETF Huatai-PineBridge and Dividend Quality ETF Huatai-PineBridge fund shares, the redemption agent broker may charge a commission at a standard not exceeding 0.50%, which includes related fees charged by stock exchanges, registration and settlement institutions, etc. When investors subscribe or redeem fund shares of other products, the subscription and redemption agent broker may charge a commission at a standard not exceeding 0.5%, which includes related fees charged by stock exchanges, registration institutions, etc. The above is excerpted from product legal documents, as of 26/9/24. Secondary market trading commissions are subject to the standards charged by the respective brokerage; stamp duty is exempted. Risk disclosure: Funds involve risks, and investment requires caution. If you wish to purchase relevant fund products, please pay attention to investor suitability management regulations, complete risk assessments in advance, and purchase fund products with risk levels matching your own risk tolerance. Past performance of a fund does not predict its future performance, and the performance of other funds managed by the fund manager does not constitute a guarantee of fund performance. Fund investment requires attention to investment risks; please carefully read the fund contract, fund prospectus, product summary, and other legal documents to understand the specific situation of the fund. Hong Kong Stock Connect Dividend ETF Huatai-PineBridge and Hong Kong Stock Connect Dividend Low Volatility ETF Huatai-PineBridge may invest in overseas securities markets; in addition to general investment risks such as market volatility similar to domestic securities investment funds, they also face special investment risks such as exchange rate risk and overseas securities market risk. The Hang Seng Stock Connect High Dividend Low Volatility Index is compiled and published by Hang Seng Indexes Company Limited, and its ownership belongs to Hang Seng Indexes Company Limited. Hang Seng Indexes Company Limited will take all necessary measures to ensure the accuracy of the index, but does not make any guarantees and is not responsible to anyone for any errors in the index. The S&P China A-Share Large-Cap Dividend Low Volatility 50 Index is compiled and calculated by S&P Dow Jones Indices LLC ("S&P"), and its ownership belongs to S&P. S&P will take all necessary measures to ensure the accuracy of the index, but does not make any guarantees and is not responsible to anyone for any errors in the index. Other indices are compiled and published by China Securities Index Company, and their ownership belongs to China Securities Index Company. China Securities Index Company will take all necessary measures to ensure the accuracy of the index, but does not make any guarantees and is not responsible to anyone for any errors in the index. MACD golden cross signals have formed; these stocks are performing well!