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Arphra AIPlain-English read on Matthews China Fund’s valuationMatthews China Fund
Under typical market conditions, the fund is committed to achieving its investment objective by allocating no less than 80% of its net assetsâa figure that encompasses any capital acquired through borrowing for investment purposesâto equity securities, specifically common and preferred stocks, issued by enterprises with significant operations in China. The geographical scope of 'China' extends to include its administrative and other districts, notably Hong Kong. An entity, whether a company or another issuer, is deemed to be 'located' within a particular nation or regionâand correspondingly, a security or instrument is classified as originating from that specific country (or Asia more broadly)âshould it possess substantial economic or operational ties to that territory.