Citic Securities’ bullish outlook on China’s capital market predicts that both the Hong Kong and A-share markets will witness an “index bull market”, with the end of the third quarter to the beginning of the fourth quarter being A crucial entry period. Zou Yingguang, the general manager of CITIC Securities, delivered a speech titled “Striving towards a New Starting Point”, emphasizing that during the economic transformation, the capital market ecosystem will undergo a fundamental reshaping.
“China’s economy, the world’s second-largest, has started 2025 with steady momentum, posting a 5.4% GDP growth in Q1—a remarkable achievement that solidifies its role as the primary engine of global economic growth,” Zou stated. He expressed confidence in achieving annual economic targets and concluding the 14th Five-Year Plan successfully, underscoring the backdrop for market optimism.
Zou attributed the positive outlook to “multiple accumulating positive factors,” including robust macro policies, qualitative leaps in new growth drivers, and a systemic upgrade of the capital market. “The ecosystem is undergoing fundamental reshaping, with a more coordinated investment-financing balance and strengthened investor protection taking form,” he said.
Against the backdrop of global market volatility, China’s capital market has demonstrated unique resilience, with Chinese assets becoming increasingly attractive, Zou noted. Key metrics reinforce this trend: Dividend repurchases have surpassed the combined scale of IPOs, refinancings, and share reductions, while regulatory efficiency has been enhanced across the entire market chain—from issuance and information disclosure to M&A and transactions. Severe violations such as financial fraud, fraudulent issuance, and market manipulation have faced strict crackdowns.
“The market’s underlying foundations are stronger than ever,” Zou concluded, highlighting that the predicted index bull market stems from both economic fundamentals and structural reforms. Analysts at CITIC Securities advised investors to monitor policy synergies and economic data trends in the coming quarters to seize optimal entry opportunities.
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