---
title: "Undervalued and stagnant, with improving fundamentals, focus on non-bank assets with cost-performance advantages"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/279370894.md"
description: "Today, the non-bank sector rebounded, with the A-share brokerage index rising by 1.99% and the insurance index rising by 2.68%. With valuations at low levels, pessimistic expectations have been fully priced in, making non-bank assets cost-effective. The dividend yield of Hong Kong brokerages for 2025E is close to or exceeds 5%, with limited downside potential for stock prices. As the fundamentals improve, the overall high prosperity of listed brokerages is expected. If the market continues to break through, non-bank financials have significant elasticity. Related ETFs include E Fund Hong Kong Securities ETF (513090) and Securities Insurance ETF (512070)"
datetime: "2026-03-17T05:04:08.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/279370894.md)
  - [en](https://longbridge.com/en/news/279370894.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/279370894.md)
---

# Undervalued and stagnant, with improving fundamentals, focus on non-bank assets with cost-performance advantages

Event: Non-bank sector rebounds in early trading today

In the morning, the A-share brokerage index rose by 1.99%, and the insurance index rose by 2.68%. The Hong Kong Securities ETF E Fund (513090) increased by 3.18%, the Securities Insurance ETF E Fund (512070) rose by 2.65%, and the Securities ETF E Fund (512570) went up by 1.98%.

How to understand the subsequent space for the non-bank sector?

1.  Low valuation, pessimistic expectations fully priced in, non-bank is a highly cost-effective asset in the market

The A-share brokerage sector's PB and PE valuations are at the 24% and 7% levels of the past 10 years, indicating low valuations;

The 2025E dividend yield for Hong Kong brokerages is currently close to or exceeds 5% for many firms, limiting the downside potential of stock prices.

1.  Improvement in fundamentals

As of March 13, the average daily trading volume of stock funds in Q1 2026 was 3.3 trillion, up 88% year-on-year. With a low base, it is expected that the overall performance of listed brokerages will continue to be strong in Q1 2026.

1.  Potential upside options

If the market index continues to break upward, brokerages resume innovative business increments, or market pessimism regarding insurance capital investments eases, non-bank financials have significant elasticity.

Related products:

Hong Kong Securities ETF E Fund (513090): The only ETF that invests in the Hong Kong Securities Index, with the latest scale of 23.3 billion yuan, T+0 trading, and an average daily trading volume of 10.2 billion yuan over the past year.

Securities Insurance ETF E Fund (512070): The largest securities insurance ETF in A-shares, with the latest scale of 17.3 billion yuan; it has the highest insurance content among A-share ETFs, with insurance accounting for 39% and securities companies 60%.

Securities ETF E Fund (512570, linked A/C: 012590 / 012700), with the latest scale of 2.5 billion yuan

### Related Stocks

- [512070.CN](https://longbridge.com/en/quote/512070.CN.md)
- [399809.CN](https://longbridge.com/en/quote/399809.CN.md)
- [399975.CN](https://longbridge.com/en/quote/399975.CN.md)
- [513090.CN](https://longbridge.com/en/quote/513090.CN.md)

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