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"As economic development leads to better living standards for the people, the resulting investment opportunities remain one of the most promising gold mines in the stock market in the long run." On July 18, the deputy general manager of E Fund Management wrote in the second quarter report disclosed that as long as the per capita GDP continues to grow, the people's living standards will continue to improve, and pessimistic expectations will eventually be falsified.

Zhang Kun said that in his investment framework, the prerequisites are to meet the elements of a good business model, certain competitive barriers, sufficient free cash flow, and good corporate governance, that is, the business operations of the company must be of high quality. "But under these conditions, we will also give considerable weight to long-term growth. After all, this is a unique advantage and an important source of higher returns for stock investors who are willing to withstand fluctuations. The continuous development of the economy is the soil for the long-term growth of enterprises. In this regard, the domestic economy is still fertile ground."

Zhang Kun believes that due to pessimistic expectations in the current market, some high-quality companies are traded at valuation levels (price-to-earnings ratio, market value/free cash flow) that can be clearly accounted for even if they are privatized.

"The most important thing at this moment is patience. The long-term return expectations of high-quality companies are very impressive," Zhang Kun emphasized. (Ding Xinqing, reporter of The Paper)