According to the Huatai Securities Research Report, China has formed a multi-functional cross-border bond type system such as panda bonds, dim sum bonds, free trade bonds, and magnolia bonds. After the restart, the institutional framework was basically formed and first-level issuance was initially resumed. In the future, if system supply and ecological construction are improved, free trade offshore bonds are expected to be normalized in the medium to long term. Long-term interest rates on US bonds rose in September, and recently peaked in stages. The gap between China and the US is deeply inverted, and the RMB financing cost advantage is outstanding. Dim Sum bonds continued to expand and have steady valuations in September, while the issuance of Chinese dollar bonds was cold and valuations declined. Dim sum bonds have a narrow margin of excess income. They can decline moderately in 3-5 years, and the investment level extends for a long time depending on the debt side. The valuation pressure on Chinese dollar bonds may ease in the short term. Focus on local state-owned enterprises, other financial institutions in 3-5 years, and investment grade industrial bonds over 5 years to adjust allocation opportunities within 2 years.

According to the Huatai Securities Research Report, China has formed a multi-functional cross-border bond type system such as panda bonds, dim sum bonds, free trade bonds, and magnolia bonds. After the restart, the institutional framework was basically formed and first-level issuance was initially resumed. In the future, if system supply and ecological construction are improved, free trade offshore bonds are expected to be normalized in the medium to long term. Long-term interest rates on US bonds rose in September, and recently peaked in stages. The gap between China and the US is deeply inverted, and the RMB financing cost advantage is outstanding. Dim Sum bonds continued to expand and have steady valuations in September, while the issuance of Chinese dollar bonds was cold and valuations declined. Dim sum bonds have a narrow margin of excess income. They can decline moderately in 3-5 years, and the investment level extends for a long time depending on the debt side. The valuation pressure on Chinese dollar bonds may ease in the short term. Focus on local state-owned enterprises, other financial institutions in 3-5 years, and investment grade industrial bonds over 5 years to adjust allocation opportunities within 2 years.