Moutai Non-standard Liquor Agency Sales Model Launches! Consumption Sector Surges, Huabao Fund Food and Beverage ETF (515710) Rises Against Market Trends! Is the Valuation at a Low Point for Strategic Positioning?

The eating and drinking sector is rallying against the market trend! Reflecting the overall trend of the food and beverage sector, the Huabao Food & Beverage ETF (515710) opened higher today (March 16), and as of the latest report, the on-market price has increased by 0.71% against the trend.

In terms of constituent stocks, popular brands led the gains, with some leading white liquor companies also performing well. As of the latest report, Jindawi surged over 5%, Andisoo rose more than 4%, and stocks like Kweichou Moutai and Wuliangye also saw significant gains.

On the news front, recently, Kweichou Moutai implemented a non-standard Moutai consignment sales policy, involving products such as 15-year Moutai, boutique Moutai, Zodiac Moutai, and non-500ml standard Flying Fairy Moutai. Following the idea that ownership rights do not transfer, distributors can apply to participate in the consignment model and pay a deposit. After sales are completed, they can earn about 5% commission.

Some analysts point out that, compared to traditional distribution, the consignment model offers lower channel gross profit, but distributors do not need to bear capital costs or operational risks. This allows distilleries to more flexibly control market supply, which helps stabilize the non-standard Moutai price levels.

From a valuation perspective, the eating and drinking sector remains undervalued. Data shows that as of the previous trading day (March 13), the Food & Beverage ETF Huabao (515710) tracked a sub-index with a P/E ratio of 19.59, which is at the 2.94% percentile over the past 10 years, highlighting its long-term value for allocation.

Looking ahead, Huadong Securities states that the current valuation of the consumer sector is at a historically low level, fully reflecting market pessimism. With more consumption-stimulating policies expected to be implemented, the sector is likely to see valuation recovery.

Guojin Securities points out that they are optimistic about the current white liquor sector’s investment value and the favorable odds under low expectations, especially during a period when market risk sentiment fluctuates due to external risks. As the “anti-involution” policies continue to be rolled out, corporate ROE is expected to improve, which will translate into increased spending on hospitality and other expenses, as well as improved household income expectations. The industry’s turning point may be approaching gradually.

You can quickly allocate core assets in the eating and drinking sector, focusing on the Food & Beverage ETF Huabao (515710). According to China Securities Index Co., the ETF tracks the CSI Sub-Index of Food & Beverage Industry Themes, with nearly 60% of holdings in leading white liquor brands. The top ten holdings include “Maotai, Wuliangye, Luzhou Laojiao,” Yili, Haitian Flavoring, and others. Off-market investors can also use the Food & Beverage ETF Huabao Connect Fund (Class A 012548 / Class C 012549) to position in core assets of the sector.

Note: When subscribing or redeeming fund shares, authorized brokers may charge a commission of up to 0.5%, which includes fees collected by stock exchanges, registrars, and related entities. For detailed fund fee rates, see the fund legal documents.

Source: Shanghai and Shenzhen Stock Exchanges, as of 2026.03.16. Please note: recent market volatility may be significant, and short-term price movements do not predict future performance. Investors should invest rationally based on their financial situation and risk tolerance, paying close attention to position sizing and risk management.

Risk warning: The Huabao Food & Beverage ETF passively tracks the CSI Sub-Index of Food & Beverage Industry Themes, which was established on December 31, 2004, and launched on April 11, 2012. The index components are adjusted periodically according to the index rules, and backtested historical performance does not indicate future results. The stocks mentioned are only for objective illustration of index components and are not recommendations or endorsements of any individual stock, nor do they represent the views of the fund manager or fund investment direction. Any information in this article (including but not limited to stocks, comments, forecasts, charts, indicators, theories, or any form of expression) is for reference only. Investors are responsible for their own investment decisions. Furthermore, any opinions, analyses, or forecasts in this article do not constitute investment advice and do not hold the fund manager or the author liable for any direct or indirect losses resulting from the use of this content. Investors should carefully read the “Fund Contract,” “Prospectus,” “Fund Product Summary,” and other legal documents to understand the fund’s risk-return profile and choose products suitable for their risk appetite. Past performance does not predict future results, and the performance of other funds managed by the fund manager does not guarantee the performance of this fund. According to the fund manager’s assessment, the risk level of the Huabao Food & Beverage ETF is R3—medium risk, suitable for balanced (C3) and above investors. Suitability opinions are subject to the sales institution’s judgment. Sales institutions (including the fund manager’s direct sales channels and other sales outlets) will evaluate the fund’s risk according to relevant laws and regulations. Investors should pay attention to the suitability opinions issued by the fund manager, which may vary across sales channels, and the risk level assessments provided by sales institutions should not be lower than those of the fund manager. Differences may exist between the fund’s risk-return characteristics in the fund contract and the risk level due to different considerations. Investors should understand the fund’s risk-return profile, consider their own investment goals, time horizon, experience, and risk tolerance, and make cautious choices, bearing all risks themselves. The China Securities Regulatory Commission’s registration of the fund does not imply any judgment or guarantee regarding its investment value, market prospects, or returns. Investment in funds should be cautious.