CITIC Securities: The overall convertible bond assets may still exhibit significant range-bound characteristics in 2026.

CITIC Securities research report points out that looking forward to 2026, we believe that convertible bond assets may still exhibit significant range-bound characteristics overall due to the catalysis of equity assets and the constraints of high redemption probability. On the one hand, under the influence of the expected return rate of equity assets and the scarcity of convertible bonds themselves, it may be difficult for convertible bond assets to experience a significant decline; on the other hand, constrained by the overall increasing redemption probability of convertible bond assets and the continuously shortening average remaining term, the time value of convertible bond assets may further deteriorate, making it difficult for the market to price them higher. Therefore, it is recommended to pay attention to the fluctuation of convertible bond valuation and price center, adjust the allocation of convertible bonds flexibly, and obtain trading-type returns. For new convertible bonds, besides actively applying for them in the primary market, it is still possible to continue to pay attention to them in the initial stage of listing, with statistical arbitrage opportunities.