During the second quarter of this year, QFII funds made significant strides in the AI sector. Based on the semi-annual reports for 2026 released by A-share listed companies, QFII's newly acquired market holdings in Guoci Materials, Hongfa Co., Ltd., and Sinoma Science & Technology all surpassed 1 billion yuan in the second quarter. Notably, Guoci Materials and Sinoma Science & Technology experienced substantial growth, with increases exceeding 230% and 130%, respectively, during the same period. Concurrently, QFII persisted in seeking investment opportunities in small- and mid-cap stocks. Companies such as Menovo Pharmaceutical and Xiaocheng Technology, which saw substantial QFII holdings in the second quarter, have demonstrated notable rebounds since July. Some foreign public institutions are of the opinion that the market's oversold rebound in early to mid-August, along with incremental improvements in macroeconomic conditions and liquidity, offers a window for a gradual resurgence in risk appetite and liquidity. Nevertheless, the extent of this rebound may be constrained, as the current market lacks distinct and significant sector-driven trends.