A-share market to see structural rotation, analysts urge balanced allocation

The emphasis on structural rotation over index direction signals that sector selection, not market timing, is the current driver of returns in A-shares. This matters for active managers and thematic funds, which must now weigh the durability of rotating leadership against headline index stability. The call for balanced allocation implicitly acknowledges that no single sector holds a persistent edge, so the key question is whether rotation accelerates or narrows as volatility persists. Watching the breadth of sector participation will indicate if the market is consolidating before a directional move or simply churning.