[CITIC Securities: AI narrative only affects market slope, not trend] According to a report by Jinse Finance, CITIC Securities stated in its research report that market volatility has increased since October, but the success rate of timing the market is not high. The underlying reason is that the structure of incremental funds is changing, with steady absolute-return funds continuously entering the market, reducing the effectiveness of traditional aggressive timing strategies. The truly important variables at present are the stability of the overseas environment for enterprises and AI, which involve U.S.-China relations and the progress of AI infrastructure construction. Currently, not only the TMT sector but also the rise in non-ferrous metals, chemicals, and new energy sectors are directly or indirectly influenced by the AI narrative. Together, these sectors account for over 60% of institutional holdings. In this context, the strategy for portfolio adjustment is not to deliberately avoid the AI narrative but to select stocks with a bottom-up trend in ROE (Return on Equity). The AI narrative only affects the slope of the market, not the trend.