QFII stock selection "each has its own preferences" Over 120 A-shares increased holdings in the third quarter.

Recently, the China Securities Regulatory Commission officially released the "Work Plan for Optimizing the Qualified Foreign Institutional Investors (QFII) System", streamlining the preparation process for QFII investment, implementing a green channel for access for sovereign wealth funds, international organizations, pension funds, and charitable funds, and expanding the scope of ETF options. Since the introduction of the Qualified Foreign Institutional Investors (QFII) system in 2002, QFII has become one of the important channels for foreign investment to enter the A-share market, with different stock selection preferences, investment styles, and allocation strategies compared to domestic funds. Securities Times reporters found in their statistics that European and American QFIIs tend to focus more on allocation strategies, holding a portfolio of stocks, often more than a hundred; Middle Eastern sovereign wealth funds like the Abu Dhabi Investment Authority tend to hold individual stocks for the long term, such as Zijin Mining and Hengli Hydraulic, with some short-term trading in between; the Bill and Melinda Gates Foundation prefers small-cap stocks in their A-share holdings. According to statistics, as of October 30th, during the third quarter of this year, QFIIs such as Morgan Stanley, the Abu Dhabi Investment Authority, JPMorgan Chase, and the Monetary Authority of Macao have continued to increase their holdings in A-shares, even though they have made some short-term trading moves. In the third quarter, at least 121 individual stocks saw increases in holdings, with the highest increase not in the semiconductor sector, but in electrical equipment, machinery, hardware, and chemical industries.