CITIC Securities: Continues to be optimistic about the gradual growth of public offering REITs and their suitability as adapted assets for "fixed income +" strategies.

CITIC Securities pointed out that since the beginning of this year, the public offering REITs market has seen a significant increase in supply, while the issue of lack of liquidity in the secondary market has once again become prominent. Against this background, investment-side policies have been successively introduced, and products such as secondary bond funds and index funds are expected to boost market sentiment, with the expectation that it will to some extent improve the liquidity of the secondary market. Looking ahead, we continue to be bullish on the gradual growth of public offering REITs and their becoming a fitting asset for a "fixed income +" strategy. In terms of strategy, in an environment of increased supply, we recommend paying attention to the opportunities for new listings and strategic allocations of projects with thick price differentials between the primary and secondary markets and excellent underlying asset quality. At the same time, caution is advised for projects with thin price differentials in the primary and secondary markets or those facing post-issuance fluctuations. In the secondary market, it is important to grasp the trading rhythm. First, it is recommended to repeatedly play the oversold opportunities of high-quality assets. Second, pay attention to the window of opportunity brought by excess dividends of new bonds and the unlocking of restricted shares of some strategic allocations. Lastly, pay attention to the pace of new capital entering the market.