Sealand A shares rebound: Dumbbell strategy continues to dominate in 2024, leading the way in banking and insurance sectors.

Sealand released a research report stating that in reviewing the A-share market, the style in 2024 is characterized by "finance > stability > growth > cyclical > consumption." Financial stocks are overall leading, stability style has continued its good performance from 2023, while consumption style has been declining for four consecutive years, presenting an opportunity for a turnaround. At the industry level, the dumbbell strategy continues to dominate in 2024, with bank and insurance stocks leading in high dividend yield, and communication and electronics showing good performance in the growth sector. Optional consumption sectors such as household appliances and automobiles have outperformed the entire A-share market. In 2024, the A-share market saw a W-shaped trend under the influence of two rounds of policy combinations, with two important buying opportunities in February and September. The overall market and value style performed better, with valuation-driven characteristics being more prominent. Trading volume in the market significantly increased in 2024, with daily turnover once again exceeding 1 trillion yuan. Incremental funds mainly came from stabilization funds, insurance, and ETFs, while leveraged funds fluctuated significantly and public funds and foreign capital remained relatively cautious. In terms of momentum, the two important buying opportunities in the A-share market in 2024 both occurred after downturns, with the difference being that in January there was a sharp decline followed by a turning point brought about by liquidity injection from China Investment Corporation, while before September, there was a gradual decline with a turning point after the intense policy shift on September 24th.