On November 5, the banking sector opened higher but dipped before rebounding. The largest bank ETF (512800) by market size rose 0.48% against the broader market trend, marking its fourth consecutive day of gains and demonstrating its defensive appeal. Within just half a day, real-time trading volume exceeded 1.1 billion yuan, indicating strong sector momentum.
Most bank stocks traded in positive territory, with Shanghai Pudong Development Bank rising nearly 3%, while Shanghai Rural Commercial Bank, Bank of Ningbo, Bank of Jiangsu, and Bank of Nanjing gained over 1%. Industrial and Commercial Bank of China (ICBC) briefly climbed nearly 1%, hitting a new all-time high intraday.
Since the start of November, the banking sector has shown sustained strength. Analysts attribute this rally to a "defensive rotation" of capital. As market volatility increases in the fourth quarter, investors' risk appetite has declined, prompting a shift toward defensive sectors like banking. After recent corrections, the banking sector now offers attractive investment value, making it a preferred choice for risk-averse capital.
Historical trends also suggest that banks tend to perform better toward year-end. Everbright Securities' analysis of the past decade shows that banks have a 70% probability of delivering absolute returns from November to December. This seasonal pattern suggests that the banking sector may now be entering a favorable investment period.
Riding this momentum, the banking sector offers both offensive and defensive opportunities. Bank ETF (512800) and its feeder funds (Class A: 240019; Class C: 006697) passively track the CSI Bank Index, which includes 42 listed banks in the A-share market, serving as an efficient tool to capture the sector's overall performance.
Bank ETF (512800) currently boasts a market size exceeding 19.8 billion yuan, with an average daily trading volume exceeding 800 million yuan this year, making it the largest and most liquid among the 10 banking ETFs in the A-share market.
Data source: Shanghai and Shenzhen stock exchanges.
Risk Disclosure: Bank ETF passively tracks the CSI Bank Index, which has a base date of December 31, 2004, and was launched on July 15, 2013. The index's performance over the past five full years is as follows: 2024, +34.71%; 2023, -7.27%; 2022, -8.78%; 2021, -4.41%; 2020, -4.23%. Index constituents are adjusted according to its compilation rules, and past performance does not guarantee future results. Constituent stocks are shown for illustrative purposes only; individual stock descriptions do not constitute investment advice or reflect the holdings or trading activities of any fund managed by the fund manager. The fund manager assesses this fund's risk level as R3—moderate risk, suitable for balanced (C3) and above investors. Any information in this article (including but not limited to stocks, commentary, forecasts, charts, indicators, theories, or any other form of expression) is for reference only, and investors are solely responsible for their investment decisions. The views, analyses, and predictions herein do not constitute investment advice, and no liability is accepted for any direct or indirect losses resulting from the use of this content. Fund investments carry risks; past performance does not indicate future results, and the performance of other funds managed by the fund manager does not guarantee this fund's performance. Invest with caution.