CSC Financial Banking Sector 2027 Investment Strategy: Continue to Favor Stable High-Dividend Yield Strategies

CSC Financial has released its 2027 banking sector investment strategy report, stating that since 2026, the rotation between dividend and technology styles has continued, and the high-dividend strategy remains in play. On the funding side, insurance capital has continued to increase holdings, southbound capital has maintained net buying, and public funds have modestly added positions. Since the start of this year, fundamentals have improved, with net interest margins stabilizing at the margin amid continued optimization of funding costs, scale maintaining high-single-digit growth, and fair value gains driving a recovery in non-interest income. Some banks have seized the window of opportunity to proactively accelerate the clearing of existing risks. We remain bullish on the stable high-dividend strategy and recommend focusing on high-quality banks with strong performance that also possess dividend attributes.