[CITIC Securities: The banking sector is expected to be revalued from "high dividend defensive assets" to "high certainty equity assets" It is expected that the upward direction of valuation will continue throughout the year] On October 31, CITIC Securities Research reported that since July, the market style has been rebalanced, and the performance of the banking sector has picked up significantly. Both absolute and relative returns have recorded good performance. The positions of public equity institutions have also significantly rebounded by 0.92ppts to 1.93%, which is at the highest level since the third quarter of 2025. CITIC Securities believes that the sector has multiple resonance effects of market style, improved funding, and stable operating expectations. In terms of investment strategies, bank stocks are subject to increased volatility in the short term due to the impact of funds, but in the medium term, the direction is driven by fundamentals and allocation funds. The sector is expected to be revalued from "high dividend defensive assets" to "high certainty equity assets", and it is expected that the upward direction of valuation will continue throughout the year.