China Fund outpits 97 % of their peers by buying Pop Mart, dumping Moutai

The mixed box that was chosen at Xie Tianyuan’s Penghua returned to the flexible return by 24 % this year, ranked first in 3 % among about 2,300 peers, and data from Tracker Tracker East Money Co. This is a transformation from his near past when property in traditional sectors such as alcoholic drinks and agriculture performance.

The Churchine -based fund manager, which was in early 2024, has not lost a long time in replacing what was then that the best Kweichow Moutai Co. , Baijiu factory, with Smash-Hit Dolls maker, POP Mart.

The re-placement of the fund, which includes about $ 7 million of management assets, reflects how cultural transformations-which are subject to digital impact and youth spending-create opportunities for Chinese investors who move wider challenges in the second largest economy in the world.

His condemnation is strengthened after watching the popularity of playmaker products in Thailand, which, he says, he pointed out “an unspeakable growth with every scale that shows the possibilities of penetration.”

I grew up in a Japanese anime culture – his office decorated with Dragon Ball Z – Xie said he developed attention to identifying promising characters or designs, called “IP brands”, by mixing personal Fandom and online search. He himself is a member of the Zil Z, the driving force behind the new “emotional spending” in China Consumption directionIt helps him to understand what might resonate behind advertising and viral.

“Opportunities in the sector in the coming years will be at the level of individual stocks with the end of the population’s profits,” he said. “I chose companies that have products of hacker, new business models and innovative sales channels – visually attractive and enjoyable products.”

His highest choice, Pop Mart, represents 10.5 % of the total funds of the fund as of March, which is the highest party to its maximum ownership in one share allowed, according to the stadiums. Other big bets include Mao Geping Cosmetics Co. , 83 % this year, as well as Chongqing Baiya Sanitary Products, and Yantai China Pet Foods Co.

The Xie strategy is firmly in targeting the direction of Gen Z, where the purchase decisions are driven by emotional players and the attention of the hobby. Despite the threats of the proposed Doald Trump, this behavioral change has fueled gatherings in the pockets of the stock market in China, especially after the momentum of artificial intelligence began to fade.

The shares of companies in this direction – including Pop Mart and Laopu Gold Co. , Known as distinctive golden pendants – on this year’s wild gains. LAOPU has increased by more than 2000 % since its initial public launch in Hong Kong a year ago.

XIE box has shares trading on the mainland as well as in Hong Kong. A scale of the Chinese shares listed in Hong Kong increased by 20 % this year. The main land index, CSI 300, decreased by 0.3 % so far this year.

The march has expanded to include sectors such as medicinal aesthetics, pet foods and even VAPE products. Another possible area for XIE: Benefit from the high popular yellow wine.

Xi said: “The line between what is considered” old “and” new “is unclear, and more companies will join the new consumption group as soon as they realize that there is no future for them who come out of their stay in their comfort areas.” “Even old trees can germinate new buds.”

However, the march driven by consumption shows cracks. Bob Mart fell after the daily suspension of people on June 20, which he called for A tougher organization From “Blind-Box” games-products in a sealed package designed to hide the content and urge the surprise and the greatest desire to collect them. LAOPU faces greater sale pressure after the closing period of public subscription ends on Friday.

Meanwhile, many GEN Z shares are close or higher than their average price, and in turn, analysts to find the reasons for continuing to ignite their outlook.

XIE acknowledged that the assessments in this sector may advance on the basics, as some shares are already priced on profits from three to five years.

However, it is still optimistic in general, especially on the shares it has invested extensively.

“The gains may seem incomprehensible to some people, but it is actually rooted in profits,” he says. “Growth is reduced for some, while others are in the early stages of their life cycle.”