Undeniable Opportunities Presented by Emerging Economic Landscapes

In the dynamic world of global investments, the Carmignac Portfolio China New Economy Fund stands out as a unique opportunity for investors seeking to benefit from China's economic potential. With a focus on the country's development plan 2021 to 2035, this fund has been investing in China for over 30 years.

China, contributing more than 40 percent to global economic growth, offers a promising landscape for long-term investments. The country's GDP is projected to double by 2035, making it the world's largest economy. This growth is not solely dependent on foreign investments and exports but aims for more sustainable and environmentally friendly growth.

The New Economy of China is based on consumption, technological innovations, health, and the green revolution. The fund focuses on established companies in future-oriented sectors such as internet services, consumer goods, fintech, 5G, clean energies, education, healthcare, and biotechnology. These sectors are crucial for maintaining China's economic growth, as the country leads in many areas such as 5G, biotechnology, robotics, and online payments.

Long-term reforms regarding healthcare, pensions, and consumer spending have a positive impact on economic growth in China. Chinese President Xi Jinping's high popularity ensures political stability in the long term, contributing to a favourable investment environment.

The Carmignac Portfolio China New Economy Fund specializes mainly in the technology, consumer discretionary, healthcare, and industrial sectors. It emphasizes growth potential, sector diversification, and exposure to emerging Chinese market trends. It's important to note that the fund does not aim to replicate a stock market index but selects stocks based on financial criteria and ESG factors.

Stock selection involves visiting companies, meeting management, and identifying competitors and partners to find the best investment opportunities. Most of the companies the fund has invested in so far are rated as high ESG by Carmignac's proprietary rating tool, reflecting the fund's commitment to ESG investments.

With a current market capitalization of over 194 trillion USD, Chinese stocks present a significant opportunity for investors. In 2021, China's economy is expected to grow by almost 8.5 percent, with consumption catching up. As the world's economic powerhouse continues to evolve, the Carmignac Portfolio China New Economy Fund offers a compelling way for investors to be part of this exciting journey.