Beginning in 2026, A-shares had a “good start”, and the Shanghai Index closed above 4,000 points for four consecutive trading days. A number of foreign-funded institutions released their forecasts, saying they are optimistic about the performance of the Chinese market in 2026. “From a valuation perspective, at present, Chinese assets are not in the overheated range.” Hu Zhiyi, president of UBS Group China, told First Finance that this round of the A-share market was not driven by overcrowded transactions, but rather by capital to seize new productivity investment opportunities. At the same time, she mentioned that since last year, foreign investment's attention to the Chinese market has rebounded markedly, and foreign investment has changed from the previous state of passive waiting, entry and exit flows, to active and long-term participation in transactions. Goldman Sachs also expressed optimism about the Chinese market. The agency said in a recently disclosed research report that it maintains overrated ratings for A shares and H shares, and that in 2026, the market will shift from growth driven by valuation expansion to driven by profit growth. “Against the backdrop of current profit growth, valuation levels, and generally low investor positions, the risk-reward ratio of Chinese stocks is attractive.” Liu Jinjin, chief strategist at Goldman Sachs China, said.

Beginning in 2026, A-shares had a “good start”, and the Shanghai Index closed above 4,000 points for four consecutive trading days. A number of foreign-funded institutions released their forecasts, saying they are optimistic about the performance of the Chinese market in 2026. “From a valuation perspective, at present, Chinese assets are not in the overheated range.” Hu Zhiyi, president of UBS Group China, told First Finance that this round of the A-share market was not driven by overcrowded transactions, but rather by capital to seize new productivity investment opportunities. At the same time, she mentioned that since last year, foreign investment's attention to the Chinese market has rebounded markedly, and foreign investment has changed from the previous state of passive waiting, entry and exit flows, to active and long-term participation in transactions. Goldman Sachs also expressed optimism about the Chinese market. The agency said in a recently disclosed research report that it maintains overrated ratings for A shares and H shares, and that in 2026, the market will shift from growth driven by valuation expansion to driven by profit growth. “Against the backdrop of current profit growth, valuation levels, and generally low investor positions, the risk-reward ratio of Chinese stocks is attractive.” Liu Jinjin, chief strategist at Goldman Sachs China, said.