CHINA/HK FIRST TO MARKET

Research evidence excerpt

CHINA/HK FIRST TO MARKET

e scale,

China remains partly reliant on overseas underwriting, reinsurance capacity, and dispute resolution. We

believe policy support, geopolitical risk, and marine risk repatriation will gradually shift more premium,

pricing capabilities, and earnings contribution to leading insurers, with PICC P&C and China Relikely to be

the key medium-term beneficiaries.

HK Banks Monthly, Hong Kong (Jemmy S Huang)

June 2026: Regional banks outperformed amid broad-based market weakness

HK banks on average corrected by 5% in June, but outperformed the HSI by 4% as broad market sentiment

was dragged by lingering concerns on new ODI rules and adverse implications on cross-border investment

flows, while improving operating trends and a more hawkish tone from the FED interest rate meeting has

lent support to bank share prices, and explained the relative outperformance of regional banks over local HK

banks. More favorable earnings momentum in 1H26 and a more direct beneficiary of potential FED rate

hikes might allow HSBC to sustain the relative outperformance in the near future.

Gushengtang - H (2273.HK, OW – HK$30.80), China (Eric Zhao, CFA)

Expansion across domestic and overseas markets on track; we expect solid top-line growth in 1H26

Recently, Gushengtang announced several new acquisitions, including Tianjin Bainian Renyitang in June

2026, followed by two Beijing hospitals, Shahe Traditional Chinese and Western Medicine Hospital and

Hongyang Chinese Medicine Hospital, on July 5, besides entering the Jinan market via three medical

institutions. These moves continue to densify its clinic network in Beijing and Tianjin and unlock regional

synergies. Internationally, Gushengtang rapidly established four new clinics in Singapore within a month,