The listed company's dividend return mechanism has been strengthened, and the Huaxia (159547) Low-Volatility Dividend ETF has experienced net capital inflows for 10 consecutive trading days.

Recently, at the Boao Forum for Asia annual conference, the CSRC’s chief lawyer, Cheng Hehong, disclosed that in 2025, various categories of medium- and long-term funds combined recorded net purchases of more than 800 billion yuan of A-shares, while the actual incremental capital entering the market exceeded one trillion yuan. At the same time, among listed companies that are profitable and meet dividend-distribution conditions, 97% implemented dividends, with the total dividend amount reaching 2.55 trillion yuan, a record high.

This set of data sends a clear signal: long-term capital is accelerating its entry into the market. Dividend-distribution return mechanisms of listed companies continue to be strengthened, and dividend assets may become an important vehicle for absorbing long-term capital.

Against this backdrop, the allocation value of the dividend low-volatility strategy has become even more prominent. High-dividend characteristics offer “bond-like” defensive attributes, while the low-volatility factor effectively smooths portfolio returns, becoming the “stabilizer” in volatile markets. From the perspective of investment value for money, under the backdrop of a downward trend in the risk-free interest rate, the current dividend yield of dividend indices is extremely attractive and has become a direct driving force for capital inflows.

Guojin Securities believes that as economic growth slows, it becomes increasingly difficult to find companies that can consistently provide relatively high growth potential; therefore, investors are more inclined to seek assets with relatively higher certainty, which is favorable for dividend strategies. Dividend strategies have “bond-like” attributes, and during periods of low interest rates, dividend strategies generally offer relatively better value for money. With current interest-rate levels remaining relatively low, it is a good time to allocate to dividend-type strategies.

As of 11:15, the Dividend Low Volatility (H30269.CSI) index fell 0.65%. The Dividend Low Volatility (H30269.CSI) index selects 50 securities with good liquidity, continuous dividend payments, a moderate dividend payout ratio, positive year-over-year growth in dividends per share, and high dividend yields with low volatility as index constituents. It is calculated using dividend yield weighting. As of March 10, the index’s dividend yield over the past one year was 4.47%. The Dividend Low Volatility ETF Huaxia (159547) is the ETF tracking this index with the lowest total expense ratio. It assesses and can distribute dividends each quarter, and the linked funds are Class A 021482; and Class C 021483. Having trouble choosing? — Buy high-dividend stocks with low fees!

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