A-Share Style Switching, Fund Managers Adjust Positions, Increase Positions, Undervalue Or Stick To High-Tech?

On August 11, A-share rose and fell. In the morning, bank stocks rose sharply, leading the Shanghai index to rush to 3400 points, but in the late trading, securities companies and technology stocks reversed, and the Shanghai index dived and turned green.

At the end of the day, the Shanghai index fell 1.15% to 3340.29; the Shenzhen composite index fell 1.4% to 13466.27; and the gem index fell 1.7% to 2688.70.

"At present, the A-share market is still in the process of shock, and there are still divergences among all parties. The foundation for A-share market to rise sharply in the future is not mature, and the possibility of a sharp decline is also small. It is more to maintain the trend of shock." Yang Delong, chief economist of Qianhai open source fund, said.

Since August, big financial stocks such as banks, insurance companies and securities companies have jumped up and down to become the focus of the market, while medicine and technology have led the decline. Is the market style about to switch?

Some of them prefer to report on the stock market in the 21st century.

Style switch?

Since August 11, the Shanghai stock index has risen 0.91%, the Shenzhen composite index has fallen 1.26%, and the Chuang index has risen 3.82%.

Among them, the national defense and military industry index (Shenwan, the same below) performed the best, up 14.15%. Auto bank rose 3.04%, followed by auto bank. In addition, non bank finance rose 0.20%, including insurance up 2.06%, and securities companies fell 1.12%. The industries with the largest decline were Leisure Services - 7.09%, electronics - 2.58% and medical biology - 2.44%.

Overall, since August, a shares have shown a trend of bank stocks and insurance stocks leading the rise, while pharmaceutical and technology stocks have led the decline.

It is worth noting that on August 11, the northward fund started to go retrograde. When the late plunge, investors lamented "turn off the lights to eat noodles", the net inflow of northward funds was 3.948 billion yuan, the highest since July 29; the net purchase of Shanghai Stock connect was 2.124 billion yuan. This is the highest net inflow of funds to the north since July 30.

On that day, the largest net inflow of foreign capital was Hikvision, muyuan shares and China Merchants Bank. It is worth noting that among the top 7 stocks with the largest net inflow of funds from the north, big finance accounted for 4 seats, namely China Merchants Bank, Ping An, Dongfang fortune and CITIC Securities. In addition, there are also a lot of inflows from consumer stocks and some capital inflows from technology stocks.

This means that, at present, northbound funds prefer undervalued big finance, but consumer stocks and technology stocks are still in the layout.

So far, the Shanghai and Shenzhen stock markets have broken through trillion yuan for the 10th consecutive trading day, and the market sentiment is still there. However, with the rise of financial stocks and the decline of technology stocks in August, whether style switching will be opened has become the focus of investment circles.

In the early stage, the chairman of the board of directors of the board of directors of the bank transferred funds from the normal market value to the high value of funds. In addition, on the evening of August 10, the China Banking and Insurance Regulatory Commission announced that the net profit of banks in the first half of the year was - 9.4%, a decline better than market expectations. For bank stocks, considering the narrowing of interest margin and the rise of non-performing loan ratio, the risk of bad debts is still large, and the short-term performance of the industry is under pressure. But the current valuation of bank stocks is relatively low, and it is optimistic in the medium and long term. "

Wang Yanglin, general manager of Yibo investment, pointed out that in recent years, large financial stocks led by banks in A-share market have been repeatedly active, mainly because the valuation of financial and other cyclical stocks is still low, attracting some investors to build positions, but the prospect of cyclical industries is dim and has great power. Therefore, it is difficult for the market to form sufficient consensus, and it is repeatedly active at the initial stage. It is believed that if the valuation of growth industries is high enough, a consensus will be formed in the final market, which will push the underpriced cyclical stocks up.

Huang Jiefeng, manager of Wolong Chuangxin fund, said that the recent escalation of Sino US friction has reduced the market risk preference, and some funds have left the market for risk aversion or carried out position adjustment and stock swap, resulting in the recent "style switching" performance. In the near future, the capital recovery of the chemical industry and other sectors is easy to be driven by the capital recovery of the non-ferrous industry, such as banks and insurance companies.

However, Huang Jiefeng pointed out that from a macro perspective, the current Sino US friction has upgraded from a trade war to a science and technology war. At present, the wind bias of funds against the science and technology sector has declined, and the valuation of science and technology stocks will fall accordingly, and the future market may maintain a volatile pattern.

The volatility of the market

"At present, there is a possibility of style switching in the market, but we should first look at the direction of fund position adjustment. Now a shares are in a range of shock, do not worry about the market will fall, do not worry about the market will rush to break through Said Zhao Lisong, chairman of shangdegu investment.

"We are now 60% of the total position. Now we need to allocate them in a balanced way. There are some technology stocks with good performance. We can focus on the future market, and we can also pay more attention to cyclical stocks. " Zhao Lisong said.

Recently, Mr. Li Cang Hongjie, the general manager of private equity fund, said, "I am the general manager of Kecheng. In the early stage, the securities companies took the lead in launching. At present, in addition to the securities companies, the big financial industry still has configuration value. "

Zhuang Hongdong is also optimistic about undervalued stocks. He said he was cautious and optimistic about the future market. For example, the sustained and rapid growth of the pharmaceutical sector comes from the excessive liquidity of the economy. "Optimistic about banks, financial real estate, real estate after the cycle of consumer stocks (such as home appliances furniture plate) and so on."

Xia Fengguang, manager of future star fund of private placement paipaipaipai.com, believes that science and technology stocks are good track, among which the probability of running out of high growth leading stocks is relatively large, but its overall valuation has reached the historical peak. Even the outstanding representative among them has already overdrawn the growth space in the future several years. Short cycle, relatively or more optimistic about undervalued plate some, but undervalued plate stock selection, to run out of excess return, still need some patience.

Yuan Huaming, general manager of Huahui Chuangfu investment, believes that due to the resilience of China's economy, the loose liquidity at home and abroad, and the positive attitude of investors, the probability and space for a sharp decline in the short-term market are not large, and it is more likely that there will be a weak blue chip market with undervalued value, including big finance, in the early stage. In addition, in order to hedge against external friction and promote economic transformation and upgrading, the industrial and financial market reform should continue to introduce policies and measures conducive to the growth of science and technology innovation and entrepreneurship enterprises, so as to promote the investment opportunities of beneficial varieties.

Some fund managers are more optimistic about technology growth stocks.

A public fund manager of a large fund company said that the core reason for the increasing volatility of A-shares in recent years is that many companies have gained a lot and their valuations are very expensive, so the overall fluctuation will become larger.

"At this point in time, it's more important to buy a good company at a lower price, or to buy a good company when the market is down, rather than chasing higher. What we can do is to buy high-quality companies, which are more valuable than non quality companies, but are more worth holding. " Said the fund manager.

"Banks and non-ferrous metal companies in traditional industries have been damaged by this round of epidemic. In the long run, some demand may disappear directly. We should choose companies that are undervalued but may be basically oriented in the future. However, if the valuation of these companies is underestimated, the compound value of some companies will continue to be higher than that of the long-term, but if the valuation of these companies is still relatively high, the compound value of some companies will continue to decline Said the fund manager.

Huang Jiefeng pointed out that in the medium and long term, the segmentation of high prosperity sectors in the science and technology sector is still the first choice for investors, such as semiconductor, consumer electronics, new energy vehicles, 5g, cloud computing, military industry and other emerging economic sectors with strong scientific and technological attributes. On the one hand, these industries are in an upward cycle; on the other hand, with domestic substitution and independent control gradually gaining popularity, the industry has become popular The prospect is broader, among which the performance improvement of science and technology subdivision leader can be used as the best configuration of the middle line.

Wang Yanglin also said that he is more optimistic about the performance of science and technology stocks in the near future. Firstly, the valuation is relatively low. Secondly, the technology industry. With the engineers' dividend and the gradual withdrawal of American technology enterprises, the domestic technology enterprises have more market space and better growth.

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