Following the massive purchase of Kweichow Moutai in June, the largest overseas Chinese stock fund, the Allianz Shenzhou A-Share Fund, increased its holdings again in August, and Kweichow Moutai also became the fund's number one heavyweight stock.

Coincidentally, a Chinese fund with a scale of over US$2 billion under the European asset management giant Aberdeen Group also chose to increase its holdings in Moutai in August.

　　Consumer stocks are bullish

　　According to data from Morningstar, Allianz Shenzhou A-share Fund increased its holdings in Kweichow Moutai by 23.26% in August. As of the end of August, the market value of the holdings was US$282 million.

At the same time, the fund has reduced its holdings in CATL by 7.93%. As of the end of August, the market value of its holdings was US$218 million.

Kweichow Moutai replaced CATL as the fund's top stock.

　　Looking through the historical data, it is found that in the past year, the Ningde era has almost occupied the "throne" of the number one heavy-holding stock of the Allianz Shenzhou A-share fund.

However, since June, the fund has begun to hold on to the consumer leader, increasing its holdings in Kweichow Moutai by 100%, and reducing its holdings in Ningde Times in July and August.

　　The latest data shows that the Allianz China A-share fund has a scale of more than 5.7 billion euros, making it the largest Chinese stock fund overseas.

Fund manager Huang Ruilin explained his idea of ​​increasing his holdings in the consumer sector in a fund review published on the official website.

He said that in August, the fund continued to increase its key positions in non-major consumer industries and basic consumer industries because the underlying assets have recovery potential.

A more structural trend is that increasing affluence and changing lifestyles are driving demand for healthier and greener products and services.

　　Aberdeen's China fund increases stake in Moutai

　　It is worth noting that it is not only the Allianz Shenzhou A-share fund that has increased its holdings in Kweichow Moutai, but also the Chinese fund of Aberdeen Group with a scale of more than 2 billion US dollars.

Morningstar data shows that in August, Aberdeen Standard-China A-Share Sustainable Equity Fund slightly increased its holdings in Kweichow Moutai by 2.48%. As of the end of August, the market value of its holdings was US$254 million.

During the same period, the fund also increased its holdings of Bank of Ningbo and Tigermed, by 7.02% and 0.12% respectively.

　　In August, after Kweichow Moutai announced its mid-term report, CICC issued a research report saying that it maintained its outperforming industry rating.

It said that the proportion of direct sales in Kweichow Moutai has increased to 40%, and the channel reform has accelerated.

At the same time, gross profit margin increased as scheduled, and contract liabilities increased month-on-month.

In addition, the accelerated release of Moutai-based wine production is due to the rhythm of production, and the expansion of production is still progressing steadily.

　　However, Fidelity China Consumer Power Fund, a subsidiary of Fidelity International, slightly reduced its holdings in Kweichow Moutai in August by 0.09%.

During the same period, the fund increased its holdings in Tencent, Alibaba and Meituan.

The latest data shows that the Fidelity China Consumer Power Fund is worth $4 billion.

　　Under the market volatility, northbound funds have shown a net outflow in the past three months.

But Stephen Andrews, co-head of BlackRock's global emerging markets equities team, pointed out that China's stock market will eventually rebound, and the key is when it will happen soonest.

　　It said that for the global stock investment market, this year is facing great challenges, including almost all markets in the Asia-Pacific region.

The ongoing impact of geopolitical conditions has accelerated the deglobalization trend over the past few years, resulting in constant supply chain adjustments, and the current level of inflation incorporates market demand, money supply and structural factors.

Therefore, it is necessary to analyze the factors that affect the company's cost structure and profit prospects. Some cyclical industries show investment value on the basis of "normalization".