Schroders Global Fund Management (China) Deputy General Manager An Yun recently commented on the latest investment views, stating that Chinese assets are undervalued and offer high cost-effectiveness. He believes that the financial market regained an upward trend in the last week of April 2024, showing a good rebound. This is the result of Chinese assets being undervalued and offering high cost-effectiveness. He pointed out that from the current situation, the export industry chain is relatively strong, real estate sales and investment are still at a low level, and consumption is weak. A strong export industry chain usually means good overall performance in the manufacturing industry, which is one of the key positive changes in economic data since 2024, and is a trend that investors should pay attention to. Furthermore, he mentioned that although overall real estate sales are still at a low level, there is a warming trend in the secondary housing market in some first-tier cities, with some properties being sold out on the day of public sale, and it is worth keeping an eye on whether these sparks will ignite a fire. During the Qingming Festival holiday, there was a rebound in average tourist spending, but during the Labor Day holiday, average consumer spending declined, reflecting fluctuations in consumption data. From the perspective of asset allocation, sectors he is optimistic about include, first, upgrading manufacturing is one of the key steps for China to become a high-income country, which is not only in line with current national policies, but also shows many positive changes at the micro level. He believes this is an industry worth focusing on in the next 5 to 10 years, and may also be an industry where many high-performing stocks may emerge. Secondly, the trend of Chinese industries "going global" (investing overseas to form industrial chains, or joining overseas industrial chains) in high-end manufacturing industries such as automobiles, electronics, and mechanical manufacturing is expected to have long-term development, and is worth close attention for at least the next 5 to 10 years. Thirdly, from the perspective of cyclical reversal, investors should pay attention to the possibility of the recovery of industries such as pig farming, new energy, real estate chains, and non-financial sectors. Fourth, artificial intelligence (AI) is currently the most important technological revolution, and investors should pay attention to the trend of recovery in high-end manufacturing industries such as electronics. Fifth, pay attention to changes in consumer mentality, live in the present, discover experiential consumer goods, and consider opportunities for alternative consumption goods.