中国资产排位：为何大幅跃升？如何把握投资机会？

With the market rebounding, Chinese assets are rising in global rankings, and overseas funds investing in Chinese assets are starting to gain recognition. Data obtained from various sources shows that funds containing Chinese market assets have experienced a strong rebound in net asset value. As of now, some funds have achieved top-tier cumulative returns among comparable global strategy funds.

Rise in Chinese asset ranking

A research report from Bank of America shows that from January 1st to May 8th, 2024, in terms of USD, the best-performing asset category was gold, which rose by 12.1% during this period. Industrial metals rose by 11.9%, and oil rose by 10.2%.

In terms of different stock markets, during the same period, Turkish stocks performed the best, rising by 34.3%. US stocks rose by 9.1% and ranked sixth among stocks from different countries and markets, while Chinese stocks rose by 7.6% and ranked seventh. Chinese stocks have made significant leaps in rankings compared to most of last year.

In terms of currencies, many countries' currencies have depreciated against the US dollar. The Japanese yen depreciated the most by 9.3%, and the Turkish lira depreciated by 8.4%. The Chinese yuan has also shown a depreciating trend, but the depreciation rate is relatively small.

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After adjustments, the ETF MCHI, which tracks the MSCI China Index, performed on par with the ETF VOO, which tracks the S&P 500. As of May 10th, the former's net asset value increased by 10.19%, slightly surpassing the latter's 9.82% growth. Due to factors such as fees and tracking errors, there are certain differences between ETF performance and the index it tracks. The strong rebound of the internet sector has been one of the main driving forces behind the net asset value rebound of the MCHI ETF, which has a high proportion of internet stocks.

Industry professionals believe that if global investors return to the Chinese stock market, Chinese ETFs will continue to benefit, and more market participants may embrace Chinese stocks. Investors are reexamining Chinese internet stocks, which continue to attract global investors as either high-growth assets or high-dividend assets. ETFs with a high proportion of Chinese internet stocks have gained attention from overseas investors.

Based on various indications, Chinese stocks are rising in global assets as of now.

Strong rebound of overseas Chinese funds

Ninety One Global Strategy Fund - All China Equity Fund IX Acc USD, owned by Ninety One, the largest asset management institution in South Africa, has achieved a return of over 10% in the first four months of this year. This fund has multiple share classes, and there is a significant difference in returns due to differences in currency and dividend distribution. According to data from a certain overseas third-party platform, one share class of this fund ranks among the top-performing globally tracked equity long-short strategy products, with a size greater than 100 million USD.

When summarizing the market and fund performance in the first quarter of this year, the relevant information disclosed by this fund states that market sentiment has become optimistic, thanks to a series of short and medium-term measures taken by the government to boost the economy and market confidence. In addition to these measures, the government has also launched a new round of equipment upgrades and consumer product updates to stimulate investment and consumption. In the medium and long term, the government will strengthen support for high-end manufacturing and innovation, which is expected to be the main driving force behind long-term economic growth.

Although the market has recovered recently, stock market valuations are still lower than the long-term historical average and significantly discounted compared to other major markets. From a risk-return perspective, there is an upward risk in market beta values. If market sentiment continues to recover and more policy support measures are introduced, the real estate industry will stabilize.

At the same time, this asset management institution continues to focus on the abundant Alpha opportunities in the Chinese market. They believe that incremental investment opportunities come from high-growth industries, whose stock prices have already experienced significant declines. In addition, there are opportunities in traditional industrial companies with excellent profits and cash flow. In terms of stock selection, the institution combines active fundamental stock selection with quantitative systematic approaches.

Rise in global ranking of Chinese fund managers

Lakefront Asset Management, the leading domestic asset management institution with billions of yuan in assets under management, issued the "Lakefront No.4 China Macro Fund". According to a certain overseas third-party platform, this product ranked third in terms of returns among global macro strategy funds with assets over 100 million USD, covering stocks, bonds, derivatives, etc., in the first three months of this year, with a return rate