Under the wave of bank stocks breaking net assets, long-term funds are quietly entering the market.

Since 2026, the A-share banking sector has been under continuous pressure, with 42 listed banks collectively falling below net asset value as of the close on July 9. As bank stocks undergo adjustments, various funds have diverging attitudes, with many funds increasing their allocation to the sector this year, while some funds have chosen to reduce their holdings based on their own considerations. Industry insiders believe that there is still further room for increased allocation and investment intensity from insurance funds in the banking sector in the future.