Multiple factors drive the deepening trend of indexation in the convertible bond market

Since 2026, the trend of indexation in the convertible bond market has deepened, mainly reflected in the significant growth of the convertible bond ETF market, which reached 76.667 billion yuan, a year-on-year increase of 81.56%. The imbalance in supply and demand structure is the fundamental driving force behind this trend, as market supply has significantly contracted since 2021, leading to a reduction in the supply of quality assets, and investors have gradually shifted towards standardized index products. The maturity of investors and the support of the policy environment have further promoted the development of this trend