Core Viewpoint - The resurgence of cross-border ETFs has led to significant price increases across various funds, driven by positive market sentiment following favorable inflation data and a temporary trade truce between the US and China [1][5][10]. Group 1: ETF Performance - The Southern Fund's Saudi ETF, Invesco's Nasdaq Tech ETF, and Invesco's S&P Consumer ETF saw increases of 5.57%, 3.64%, and 3.4% respectively, with latest premium/discount rates at 8.99%, 3.72%, and 29.09% [1][3]. - The S&P Oil & Gas ETFs from Franklin Templeton and Harvest Fund increased by 3.19% and 2.99% respectively, reflecting a broader rise in oil prices [1][3]. - The Nasdaq index rose for the second consecutive day, with Franklin Templeton's Nasdaq ETF and Cathay Fund's Nasdaq ETF increasing by 2.7% and 2.63% respectively [1][3]. Group 2: Market Context - Global stock markets continued to rise, with the S&P 500 and Nasdaq indices gaining 0.72% and 1.61% respectively, attributed to lower-than-expected inflation data and improved investor sentiment following the US-China trade truce [5][6]. - The S&P 500 index has recovered its losses for the year, now up 0.1%, after a significant drop earlier due to escalating trade tensions [5][6]. - The recent signing of a $142 billion arms deal between the US and Saudi Arabia, along with Nvidia's commitment to supply advanced AI chips, has further bolstered market optimism [6][10]. Group 3: Economic Indicators - The US Consumer Price Index rose by 2.3% year-on-year in April, below the expected 2.4%, marking the lowest level since February 2021 [10]. - Despite the favorable inflation data, the 10-year US Treasury yield increased by 2.4 basis points to 4.481%, indicating a complex market reaction [10]. - Market analysts suggest that the upcoming month may see fluctuations in the S&P 500 index between 5500 and 5800 points, supported by corporate buybacks and trade agreements [10].

Core Viewpoint - The article discusses the challenges and misconceptions surrounding value investing, highlighting how it has become a form of self-deception for many investors. It emphasizes the gap between ideal long-term investment strategies and the harsh realities faced by investors in the market. Misconceptions about Value Investing - The concept of "pseudo long-termism" suggests that value investing is not about holding onto stocks indefinitely but requires dynamic decision-making based on market valuations [5] - Investors often lack the courage to counter market trends, leading to hesitation in making reverse investment decisions when faced with undervalued stocks [6] - The psychological trap of sunk costs causes investors to hold onto losing stocks out of fear of admitting failure, rather than making rational decisions [6] - The illusion of risk diversification can mislead investors into believing that holding numerous stocks reduces risk, while in reality, they may be concentrated in similar sectors [7] - Many investors chase short-term gains, neglecting the time required for value to materialize, which can lead to poor investment choices [8] Investment Strategies and Philosophies - The article introduces investment philosophies such as "waiting for the wind" rather than "chasing the wind," advocating for patience and strategic buying during undervaluation periods [10] - Emphasizes the importance of deep understanding and trust in investment targets to overcome the common issue of not being able to hold onto stocks [11] - Discusses a balanced approach between maintaining core positions in deep value stocks and being flexible to capitalize on short-term opportunities [12] - Establishing clear valuation standards is crucial for controlling drawdowns and maintaining investment discipline [13] Market Dynamics and Opportunities - The volatility in the A-share market is seen as a source of arbitrage opportunities, as price fluctuations around value can benefit value investors [20] - The core of company analysis should focus on understanding the essence of competitive advantages, ensuring that analysis does not deviate from fundamental factors [21]