Core Viewpoint - The willingness to pay for happiness has no ceiling, indicating a strong potential for companies that can create joy and emotional connections for consumers [1][6]. Group 1: Investment Philosophy - The investment philosophy emphasizes companies that enhance life quality and happiness, reflecting a personal value system [1]. - The manager has achieved a return of 39.86% since taking over the fund, with a significant increase of over 600% in a key holding [1]. - The investment strategy is built on a cross-industry perspective, particularly focusing on the intersection of consumer goods and technology, known as TMT (Technology, Media, and Telecommunications) [2]. Group 2: Market Trends - The trend towards "self-consumption" and emotional spending is seen as a significant industry trend, with potential for growth in various sectors such as toys, pets, and gaming [3]. - The manager draws parallels with Japan's 1990s experience, suggesting that as material wealth increases, emotional consumption will take precedence [3]. - The manager identified a leading toy company that continued to grow despite a general decline in retail sales, highlighting its unique emotional connection with consumers [3]. Group 3: Future Opportunities - The emergence of AI applications in emotional companionship is expected to create new market opportunities, enhancing consumer experiences in gaming and other sectors [4]. - The importance of the media sector in the A-share market is projected to increase, with notable successes in various cultural products indicating a cultural consumption boom [4]. - Companies that can consistently create joy for consumers may have limitless market potential, similar to Disney's historical market cap achievements [6]. Group 4: Valuation Perspective - The belief that industry trends are more critical than valuation metrics shapes the investment approach, allowing for tolerance of high absolute valuations if justified by growth potential [6]. - The manager highlights the disparity in valuation perceptions between traditional analysts and those focused on emerging technologies, suggesting that this difference can lead to excess returns [6].