1. A big background of this bull market is the central government's vigorous promotion of the registration system. China's stock market resources have been in short supply, and the examination and approval system has not only created many gray operations criticized by investors, but also tilted the listed resources to state-owned enterprises to support the reorganization of state-owned assets. Therefore, when China's economy is facing the transformation demand under the new normal, the registration system will bring more high-quality private enterprises, fundamentally change the structure of A-share listed companies, and finally reflect the investment structure of the real economy.

This bull market is accompanied by record mergers and acquisitions. Many high-quality enterprises and assets have successfully landed in the stock market, optimizing the asset structure of listed companies. Undoubtedly, the high-quality assets in the eyes of listed companies are not sunset industries such as overcapacity, nor real estate with reversed price expectations, but hot market industries that represent new consumption and industrial upgrading, which is of course conducive to the transformation and upgrading of China's economy.

3. The stock price rise in this bull market is structural, and the hot sectors are more concentrated in creative emerging industries. If we take stock of the stocks whose share prices have risen the most in the past few months, we will find that the market focuses on emerging technologies represented by "internet plus", the upgrading of traditional manufacturing industries represented by "Made in China 2025" and the upgrading of consumption represented by cultural media, which is undoubtedly the forward-looking investment vane of China's real economy. The stock market is a typical representative of direct financing, and the favorite investment product is not a traditional industry that values assets, but a creative economy that represents a new consumption hotspot, which is essentially different from indirect financing represented by commercial banks.