On March 12th, Wang Qing, chairman and chief economist of Shanghai Chongyang Investment, stated during a roadshow that after the adjustments at the beginning of the year, A-shares and Hong Kong stocks should have completed a typical adjustment process at the end of a bear market cycle - A-shares and Hong Kong stocks have completed the process of correction and general decline. Overall, the stock market is currently at a good value, with both win rate and odds not low. At this time, one should dare to take a contrarian position and not lose positions. If participating, one should dare to maintain a sufficiently high position. Wang Qing pointed out that looking ahead, the negative impact of real estate on economic growth is diminishing, meaning real estate investment, even if not growing, is no longer a major negative contributor. On the contrary, it now has a positive impact on future economic growth, as it was a negative contributor before, and may now or in the near past have been a zero contributor. The latest data shows signs that the drag of China's real estate on economic growth is diminishing, such as new construction data, which seems to have reached a turning point. Looking at the turning point in the growth rate of new construction, it may mean that there will be a turning point in the growth rate of real estate investment in the near future. Of course, this indicator needs to be closely monitored to observe the actual turning point. Wang Qing predicted that after the adjustments at the beginning of the year, A-shares and Hong Kong stocks should have completed a typical stock market cycle adjustment at the end of a bear market - A-shares and Hong Kong stocks have completed the process of correction and general decline. Historically speaking, in such a stock market cycle, the transition from a bull to a bear market is nearing its end, ultimately leading to all stocks falling, with similar declines, meaning the market downturn is essentially coming to an end. They have identified five major clearings at present, manifested by the decreasing selling pressure in the market. Firstly, foreign assets have been cleared out, with foreign assets selling off in the past two to three years. Core assets have also been cleared out, with the MSCI index declining for the past three years, including 2019, 2020, and parts of 2021, with such large declines. Leading stocks in various sectors have been cleared out, such as new energy, pharmaceuticals, and photovoltaics. Additionally, small and micro-cap stocks have been cleared out, along with leverage, as this round of adjustments has led to a significant reduction in leverage. From the supply side perspective, selling pressure is getting weaker. On the other hand, potential demand is actually growing stronger. Furthermore, liquidity has shown positive changes, with clear signs of declining U.S. inflation and the end of the Federal Reserve's interest rate hike process. Looking ahead, the market generally expects the Federal Reserve to cut interest rates this year, with initial expectations of six rate cuts now being revised down to three. Therefore, in this environment, the improvement in liquidity is favorable. The improvement in liquidity will be very conducive to the valuation of asset prices in many emerging market countries, including China. In other words, given the fundamental conditions, the performance of the Chinese economy and stock market is actually facing a strong headwind, which is the changing international liquidity, but this factor is gradually being resolved. Currently, the market generally expects interest rate cuts to start at least by June this year. Wang Qing stated that the stock market is currently in a time of relatively good value, where value means a combination of market win rate and odds. At this point, the likelihood of stocks rising is high, which is the so-called win rate. In contrast, the upside potential and downside potential of the stock market at this point are asymmetric, which is the odds. In their view, the current market is an environment with a relatively high win rate and odds, which calls for a positive contrarian approach in the market. Secondly, the international liquidity environment affecting asset price performance is also improving. What's more, the current capital markets have not reflected many positive fundamental factors, but have instead reflected a lot of pessimistic factors, to the extent that this level of pessimism is comparable to major crises in other countries in history. This presents a good opportunity for a contrarian approach. Looking ahead to the Year of the Dragon, Wang Qing believes that the performance of the Chinese stock market is a fairly optimistic judgment. They are confident in the market performance and at this time, one should dare to take a contrarian position and not lose positions. If participating, one should dare to maintain a sufficiently high position.