Institution states that the opportunities for A-shares in March are greater than the risks, with performance worth looking forward to, and the Southern A500 ETF is increasing in trading volume.

On March 2, the A500ETF of the Southern region rose significantly by 0.46%, with a trading volume of 78.3 billion yuan, showing significant liquidity advantage. China Merchants Securities stated that geopolitics has become the most important marginal variable affecting A-shares, and the direction of the US-Iran situation will affect the future trends of bulk commodities and global macro logic. In addition, communication between China and the US is also an important event, and the market style will become more balanced, with small and medium caps possibly continuing to dominate. The rise in prices of cyclical industries and the diffusion of AI hardware remain core themes. Bank of China Securities believes that the current impact of the Middle East situation on A-shares is more focused on risk preferences. In the medium term, the A-share market will return to domestic fundamentals and policy expectations. At the same time, the upcoming two sessions in China, the post-holiday resumption of work, and the macro policies before and after the two sessions are the focus of domestic investors. With internal and external factors catalyzing in the first quarter, now is the right time for the allocation of cyclical resources. Everbright Securities points out that although there may be uncertainties externally, such as in the Middle East region, which may cause some disturbances, overall, opportunities in the equity market in March still outweigh risks, and performance is worth looking forward to. In the medium to long term, grasp the two main themes of growth and cyclical industries. The A500ETF in the Southern region, tracking the CSI A500 index, has significant advantages, covering a large number of new productive-related targets, balancing beta income and growth potential. Investors can utilize the A500ETF in the Southern region to easily deploy their investments.