China Equities: Core Investment Themes for Chinese Growth

Lilian Co, portfolio manager of the EI Sturdza Strategic China Panda Fund discusses the Fund's core investment themes in the China equities market over the short and long term.

Interview recorded 19/06/2018

Lilian comments on the following:
• Fund investment objective, strategy and philosophy.
• Major positive contributors to the Fund in 2017.
• Increased weighting in Chinese Banks.
• China currency: renminbi depreciation/appreciation?
• Significance of consumer discretionary sector.
• Top holdings for the Fund.
• China stock classification – Red Chip, A-Shares and H-Shares.

Topics discussed include:
• Growth at a reasonable price (GARP) investing.
• Investing ideas, mispricing opportunities, earnings surprises.
• Sector allocation: IT, handset component manufacturing, Macau gaming and auto sector.
• Outperforming the index in 2017.
• Major positive contributors to the Fund: Sunny Optical and AAC Technologies.
• Fund Weighting: China Properties, Chinese Banks.
• Trade dispute between China and the U.S.
• Rising affluence and emergence of middle-class income in China.
• Consumption upgrade trend.
• Fund top holding: Bestway Global.
• China stock classification.
• Growth of A-Share stocks.

 

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Disclaimer: This video is for Professional Investors Only.

The views and statements contained herein are those of LBN Advisers Limited in their capacity as Investment Adviser to the EI Sturdza Strategic China Panda Fund as of 19/06/2018 and are based on internal research and modelling. This does not constitute independent research and under no circumstances should the information contained therein be used as a recommendation to buy or sell any security or financial instrument or service or to pursue any investment product or strategy or otherwise engage in any investment activity or as an expression of an opinion as to the present or future value of any security or financial instrument. Nothing contained in the views and statements by LBN Advisers Limited are intended to constitute legal, tax, securities or investment advice. The views and statements contain “forward-looking statements”. All projections, forecasts or related statements or expressions of opinion are forward-looking statements. Although LBN Advisers Limited believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct, and such forward-looking statements should not be regarded as a guarantee, prediction or definitive statement of fact or probability.

E.I Sturdza Funds Plc and its sub-funds, are Irish funds authorized by the Central Bank of Ireland. They are approved to the distribution in Switzerland by Finma. The Swiss representative and paying agent is Banque Eric Sturdza SA, rue du Rhône 112, 1204 Geneva / Switzerland. The prospectus, KIIDs, Articles of association, semi-annual and annual reports of E.I Sturdza Funds Plc can be obtained, free of charges, at the seat of the Swiss representative. The information contained herein is estimated, unaudited, may be subject to change and reflect the performance of the relevant funds during the period indicated. Any opinions or estimates expressed herein are at the date of preparation and are subject to change without notice. No such opinions or estimates constitute legal, investment, tax or other advice. The value of the funds and the income which may be generated from it can go down as well as up and therefore the investors must be able to bear the risks of a substantial impairment or loss of their entire investments. Past performance is no guarantee of future results. Performance data do not take into consideration commissions and costs charged at the time of issuance of the shares. This document is intended for information purposes only and is not intended as an offer or recommendation to buy, sell, or otherwise apply for shares in the funds.

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