The logic of high dividend allocation is marginally strengthening, and the S&P Dividend ETF closed up 0.28%

On March 11, the S&P Dividend ETF closed up 0.28%, with a transaction volume of 29.4528 million yuan. The constituent stocks showed mixed performance; on the upside, Chongqing Department Store led the gains, followed by YONGXING MATERIALS; on the downside, Aopu Technology led the declines, with Quartz Co. following. Huatai Securities pointed out that a style switch may take some time, but the logic of high dividend allocation is marginally strengthening, due to: 1) Overseas disturbances are resurfacing. Last week, the shadow of Trump's tariffs re-emerged, triggering a global risk-off sentiment, with some funds flowing into high dividend sectors under the influence of risk aversion; looking ahead, early April will be a critical point for tariffs, at which time there may also be a demand for risk aversion; 2) The calendar effect shows a high probability of high dividends outperforming from after the Two Sessions until the end of April. Since 2013, the dividend index has achieved a win rate of 60% from after the Two Sessions to the end of April, which is relatively high among all major stock indices; 3) In addition, the advantages of certain long-term capital inflows and high allocation cost-effectiveness remain