At the CITIC Securities 2026 Spring Capital Market Forum held in Beijing on March 19, Zhu Yexin, a member of the Party Committee, Executive Member of the Management Committee, and Head of the Research Department at CITIC Securities, delivered an opening speech.

Zhu noted that aligning the government work report with recent statements and measures from the China Securities Regulatory Commission (CSRC) highlights that stabilizing the market and fostering a long-term investment ecosystem have become essential requirements for high-quality development in the capital market.

There is growing recognition that a capital market offering stronger protection for investor returns is taking shape. Regulatory authorities have intensified efforts to crack down on financial fraud and insider trading, while strictly enforcing mandatory delisting rules, significantly improving the market environment. At the same time, the multi-tier capital market system has become more inclusive and adaptable. Regulators are deepening reforms on the ChiNext board, optimizing refinancing mechanisms, and introducing more flexible listing standards to provide targeted support for emerging industries, new business models, and technology innovation enterprises.

Thanks to these fundamental structural improvements, the global appeal of Chinese assets continues to rise. Driven by both improving economic fundamentals and increasing capital inflows, the A-share market is transitioning from a phase of存量 competition to one of增量 allocation. A more resilient and stable new ecosystem for the capital market has already taken shape.

The following is the full text of the speech:

Welcome to the "CITIC Securities 2026 Spring Capital Market Forum"! First, on behalf of CITIC Securities, I extend a warm welcome and sincere gratitude to the leaders, experts, scholars, listed company representatives, and investor friends who have long cared for and supported the development of CITIC Securities.

The year 2026 holds extraordinary historical significance. It marks the beginning of the 15th Five-Year Plan period and is a critical phase as China advances toward the goal of basically achieving socialist modernization by 2035. The recently concluded National People's Congress sessions have charted a grand blueprint for high-quality development amid an increasingly complex global landscape. Standing at this pivotal juncture, we recognize our honorable mission and significant responsibilities. At this new starting point filled with opportunities and challenges, we must demonstrate the courage to innovate, use the certainty of high-quality development to counter external uncertainties, and jointly explore new prospects for China's economy and capital markets.

First, China is leveraging the certainty of high-quality development to address uncertainties arising from rapid changes in the external environment.

Currently, external shocks are intensifying, with ongoing international trade disputes and escalating geopolitical conflicts creating uncertainty for the global economy and trade. Meanwhile, financial markets remain volatile, with significant fluctuations in global stock, bond, foreign exchange, and commodity markets. Additionally, shrinking international cooperation, the prevalence of unilateralism and protectionism, and frequent regional conflicts will continue to undermine the resilience and growth potential of the global economy.

As the world's second-largest economy, China's stable economic performance remains the primary engine and anchor for global growth. The 2026 government work report sets an economic growth target of 4.5% to 5%, which aligns with the country’s long-term vision for 2035 while emphasizing the importance of growth quality. This target encourages a focus on implementing new development concepts and accelerating economic transformation, creating room for structural adjustments, risk prevention, and reforms.

Second, China’s macroeconomic policies reflect new approaches, with the 15th Five-Year Plan providing guidance for development over the next five years.

This year will see the continuation of more proactive fiscal policy and appropriately accommodative monetary policy, with this policy mix sending strong signals aimed at stabilizing growth and promoting reforms. On the fiscal front, the deficit-to-GDP ratio is set at around 4%, with plans to issue 1.3 trillion yuan in ultra-long-term special government bonds, 4.4 trillion yuan in new local government special bonds, and an increase in the scale of new policy-oriented financial instruments to 800 billion yuan. These measures significantly enhance the focus and intensity of fiscal support. On the monetary side, greater emphasis is placed on flexibility, efficiency, and structural guidance to keep overall financing costs low. Crucially, macro-control efforts are increasingly coordinated between fiscal and monetary policies, directing more funds toward boosting consumption, stabilizing employment, ensuring people’s livelihoods, and advancing technological progress.

Furthermore, the transition between old and new growth drivers is achieving qualitative breakthroughs. The development of a modern industrial system and the globalization of Chinese enterprises are reshaping the valuation logic of China’s core assets.

The 15th Five-Year Plan outlines the importance of building a modern industrial system and strengthening the real economy, emphasizing the establishment of an advanced manufacturing-led industrial framework. Against this backdrop, new productive forces such as artificial intelligence, commercial aerospace, and biotechnology are moving from conceptual exploration to industrial application, redefining the main drivers of economic and market growth. More encouragingly, the overseas expansion of Chinese enterprises and the internationalization of the renminbi are creating strong strategic synergies, opening up vast potential for the systematic revaluation of Chinese assets.

Finally, the capital market ecosystem has significantly improved, continuously enhancing the attractiveness of Chinese assets. Aligning the government work report with recent CSRC statements and measures underscores that stabilizing the market and fostering a long-term investment environment are essential for high-quality capital market development.

We are pleased to observe the formation of a capital market that offers better protection for investor returns. Regulatory authorities continue to intensify efforts, rigorously combating financial fraud and insider trading while strictly enforcing delisting rules, which has greatly purified the market environment. Simultaneously, the multi-tier capital market system has become more inclusive and adaptable. Regulators are advancing reforms on the ChiNext board, optimizing refinancing mechanisms, and introducing more flexible listing criteria to provide precise support for new industries, business models, and tech innovation firms.

It is precisely due to these solid underlying structural changes that the global appeal of Chinese assets continues to rise. Supported by both fundamental economic recovery and increasing capital inflows, the A-share market is transitioning from存量 competition to增量 allocation. A more resilient and stable new ecosystem for the capital market has already taken shape.

Remaining true to the mission of serving the country through finance, CITIC Securities will deepen its efforts in the "Five Key Areas" and fully support high-quality development. As a key participant and builder in the capital market, CITIC Securities will enhance its professional service capabilities, asset pricing expertise, and risk management standards with a proactive spirit. We strive to become a leading domestic and internationally renowned Chinese investment bank trusted by global clients, contributing our full strength to building a strong financial nation.

Distinguished guests and friends! China’s economy remains stable and improving, with the giant ship of high-quality development forging ahead. Despite ongoing instability in the global political and economic landscape, the resilience of China’s economy, the innovation capacity of Chinese enterprises, and the determined pace of capital market reforms provide a solid foundation to weather any storm.

Let us take this Spring Capital Market Forum as an opportunity to gather wisdom, build consensus, and seize opportunities. In the inaugural year of the 15th Five-Year Plan, let us ride the momentum and embark on a new journey of progress!

Once again, thank you all, and I wish the forum a complete success!