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Seminar Key Takeaways: The New China A-Shares Opportunity: Unlocking Growth, Capturing Quality

Krungsri Asset Management Company Limited together with Goldman Sachs Asset Management recently hosted a seminar titled “The New China A-Shares Opportunity: Unlocking Growth, Capturing Quality” to mark the transition of KF-ACHINA’s master fund to the “Goldman Sachs China A-Share Equity Portfolio”, managed by Goldman Sachs Asset Management. The new master fund applies an active, bottom-up approach to capture growth and align with evolving New Economy of China. At the seminar, experts from Goldman Sachs Asset Management and Krungsri Asset Management shared their views on China’s economic outlook, the current investment landscape and future market trends, as well as the master fund’s investment strategy designed to capture opportunities and deliver long-term growth alongside China’s evolving New Economy.

Outlook from Krungsri Asset Management

The A-Shares rebound is sector-driven rather than broad-based. Gains in the CSI 300 Index are concentrated in telecom and technology, supported by global semiconductor demand and the AI boom. Upstream AI infrastructure firms - data centers and chip designers - are leading the rally, while offshore H-Shares like Alibaba and Tencent continue to lag as liquidity flows into mainland markets. Krungsri Asset Management believes the previous master fund was too defensive, risking missed opportunities. The Goldman Sachs strategy introduces flexibility, balancing cyclical and defensive stocks, making it well‑suited for long‑term investment horizons of three to five years.

Three factors currently driving the A-Shares market include:

1) The global AI wave has integrated Chinese semiconductor makers into the supply chain, boosting overseas revenues

2) China’s Producer Price Index (PPI) has risen in the past four months to 4.1%, signaling stronger pricing power, while UBS forecast all A-share earnings growth to rise to 11% in 2026 from 3.9% in 2025.

3) Liquidity remains high, with sustained capital inflows since mid-2025. Despite the rally, A-Shares stocks are still undervalued compared to Western tech giants, offering an attractive entry point.

Outlook from Goldman Sachs Asset Management

China’s growth is now powered by innovation and technology. Years of investment in engineering talent are paying off-China produces 80,000 PhD engineers annually, twice the U.S., plus over a million Bachelor’s and Master’s graduates. Policies have shifted from crackdowns to supporting sustainable growth. China now leads globally in AI technology and equipment, humanoid robotics, and EV batteries and domestic manufacturers have moved up the value chain from contract manufacturing to growing their own brands globally. The government also encourages companies to improve shareholder practices, including giving out higher dividends, reshaping the A‑Shares market. (Source: Goldman Sachs Asset Management as of Mar-2026.)
The Goldman Sachs China A-Share Equity Portfolio (Portfolio) currently overweights “New China” Industries which is focused on three pillars
- AI infrastructure and hardware: driven by replacement of imported GPUs with domestic alternatives and export potential
- Humanoid robotics: China currently produces 90% of the world’s humanoid robots
- Globalized healthcare: partnerships with international pharmaceutical firms to export innovative drugs.
To manage risk, the Portfolio avoids cyclically sensitive and policy dependent sectors like real estate and focuses on companies driven by domestic trends and innovation. Furthermore, the strategy leverages the broader Goldman Sachs network, including our global Fundamental Equity research platform of 100+ investors, combining global research with a meticulous risk framework focused on mitigating non-stock risks to monitor performance.

Summary
This transition reflects Krungsri Asset Management’s conviction that China’s equity market has moved past its cyclical bottom and is entering a new growth phase driven by real demand. Onshore A-Shares also show lower volatility than offshore H-Shares.

Panelists

Krungsri Asset Management: Mr. Kiattisak Preecha-anusorn, Chief Investment Strategy Officer
Goldman Sachs Asset Management: Portfolio Manager as Co-Head of China Equity

Krungsri Asset Management’s funds investing in Goldman Sachs China A-Share Equity Portfolio are as follows:

Krungsri China A-Shares Equity Fund-A (KF-ACHINA-A)
Krungsri China A-Shares Equity Fund-I (KF-ACHINA-I)
Krungsri China A-Shares Equity RMF (KF-ACHINARMF)
Krungsri China A-Shares Equity SSF (KF-ACHINASSF)) (Available only for switches within the SSF fund group.)

Interested investors can invest through all Krungsri Asset Management channels, including the online platforms (@ccess Mobile and @ccess Online), at Krungsri Asset Management offices, and at Bank of Ayudhya (Krungsri) branches, with a minimum initial investment of just THB 500.

For more information about the funds, click here
For more information or to obtain the fund prospectus, please contact Krungsri Asset Management Company Limited at 0-2657-5757, press 2, or Bank of Ayudhya PCL or Selling Agents

Disclaimers:

SSF is a fund to promote long-term savings. RMF is a fund to promote long-term retirement savings. Investors should understand fund features, investment conditions, risks, condition of returns, and tax benefits before making an investment decision. Past performance is not indicative of future results.
This document is prepared from sources believed to be reliable as of the date indicated. However, the Company does not guarantee the accuracy, reliability, or completeness of the information and reserves the right to amend any information without prior notice.
The fund may hedge foreign exchange risk at the discretion of the fund manager. Therefore, investors remain exposed to foreign exchange risk, which may result in gains or losses from exchange rate movements, and investors may receive less than their initial investment.
Units of KF-ACHINARMF & KF-ACHINASSF cannot be sold, transferred, pledged, or used as collateral.
Purchases made by credit card are not eligible for credit card promotional campaigns.
Investors should carefully review the tax benefits described in the investment guide. Failure to comply with RMF investment conditions may result in the loss of tax privileges, and investors may be required to repay tax benefits previously received, together with any applicable surcharges and penalties under the Revenue Code.