Huatai Securities He Kang: Pay attention to balancing value and growth at the end of the year and the beginning of the new year.

At the 2026 Investment Summit of Huatai Securities, He Kang, Chief Strategist of Huatai Securities Research Institute and Co-Chief of Financial Engineering, pointed out that the new economy represented by AI is supported by the increase in performance, interest rate cuts, and industry trends both domestically and internationally. However, the technology sector is currently slightly crowded with high valuation premiums, so he is more optimistic about the performance of the "old economy" sector in the future. He Kang's main reasons for this judgment are fourfold: first, there is a positive correlation between the new and old economies, with a good performance of the new economy usually driving the growth of the old economy; second, the old economy sector currently has low valuation, low chips, and low market expectations; third, the cyclical troughs have accumulated strong repair momentum; fourth, in terms of funding, next year's incremental funds such as insurance funds and foreign funds are more inclined towards value style. Therefore, he suggests that investors should balance value and growth in their investments and can adopt a strategy of regular investments and phased positions. According to historical patterns, fund allocations generally focus more on risk aversion at the end of the year, with value styles relatively dominant. Therefore, the period from the end of the year to the first quarter of next year is a good window for positioning.