2019.01.03 CoStone Capital Views:
CoStone Capital has always been socially conscious and actively involved in the country's poverty alleviation strategy. CoStone Capital donated $0.3Mn to support the poverty alleviation project of “Photovoltaic Farm” in Fenxi, Shanxi Province in 2018, as an active response to the call of Asset Management Association of China (AMAC) . This poverty reduction project was expected to generate more than ¥2.8Mn of income each year and help about 800 households to get rid of poverty.
A Thank-you Note from AMAC to CoStone Capital
CoStone Capital has always been socially conscious and actively involved in the country's poverty alleviation strategy. CoStone Capital donated $0.3Mn to support the poverty alleviation project of “Photovoltaic Farm” in Fenxi, Shanxi Province in 2018, as an active response to the call of Asset Management Association of China (AMAC) . This poverty reduction project was expected to generate more than ¥2.8Mn of income each year and help about 800 households to get rid of poverty.
A few days ago, we received a thank-you note for the good deeds of CoStone Capital from AMAC. As a firm of social responsibility, CoStone Capital will continue to fulfill corporate social responsibility and support social welfare undertakings.
The following is the original text of the Association's thank-you letter:
CoStone Asset Management Co. Ltd:
Proposed by Asset Management Association of China (hereinafter referred to as the "Association"), and co-sponsored by 35 member companies, power station building of Fenxi PV (Photovoltaics) Farm project has been completed on June 30th, 2018 and connected to a power grid. This project started to play its role in poverty alleviation. After eight poverty-reduction projects of PV Farm at the township level are completed, it’s predicted to generate revenue exceeding ¥2.8Mn. That will help poor households in poverty alleviation and provides strong support to poverty alleviation efforts of Fenxi.
PV Farm project has received ¥23.55Mn in donations from 35 member companies of the Association. Capital that has been used and planned to be used amounts to ¥20.6Mn, among which the construction of power stations of PV farms would cost ¥16.8Mn at a rough estimate, the farm that is below PV would cost $2.9Mn (which is covered in the funding package of county government) and the cold storage that relies on the construction of Sengnian’s PV farm would cost $0.9Mn (which has been basically completed).
CoStone Capital has reacted positively to the proposal of the Association and given a generous donation of ¥0.3Mn to support “PV Farm” project. We have a profound sense of gratitude and respect for all CoStone Capital does to fulfill corporate social responsibility and engage in national poverty alleviation. We hope you will support poverty relief in Fenxi as always, and join our hands to achieve our goals of poverty elimination in 2019.
Asset Management Association of China
2019/01/03
The year 2019 marks the fortieth anniversary of China’s Reform &Opening-Up, once again, we meet at the turning point of history. What’s the next step for the game, is there any clear guidance? The answer is affirmative.
Our country is enjoying a good momentum of development, which does not come from the Washington Consensus nor the Beijing Consensus. China’s experience has proved that both the visible hand and the invisible hand are crucial: the visible hand, stands for the government-led reform, and would yield benefits for reform and opening up; the invisible hand, stands for the Marginal Power represented by the private sector, and would improve economic efficiency and tax collection, create jobs and employment opportunities.
Provided that we want to protect and expand the benefits form reform, three simple but mandatory agreements are to be made and followed: No.1 Private ownership must be recognized, protected and treated equally with public ownership constitutionally, both ownerships are scared and inviolable;No.2 Make further clarification of the principal position of market economy, “deepen economic system reform by centering on the decisive role of the market in allocating resources”, as President Xi addressed in the third Plenary Session of the 18th CPC Central Committee;No.3 Implement the guiding principles of “comprehensively promoting law-based governance” of the fourth plenum. The rule of law is essential for economic growth, irreplaceable to protect private ownership, and necessary to encourage innovation and entrepreneurship.
Above are three rules for us to avoid falling into the Middle-income Trap. Assuming that we are breaking systematic barriers to private enterprises’ participation in market economy, and boosting innovation and entrepreneurship of our society, then we are heading towards a promoting direction. We are marching in the path of light, regardless of the ups and downs of Sino-US relationship, the drop in GDP growth rate, or the monetary policy.
These principals also apply on knowing how better to run a business: don’t be hedged by rules and regulations at the beginning, pay more attention to your survival, and you’ll learn more when you start your second business.
For many years, Huawei has been the only Chinese company on the list of the Top 50 R&D Spenders. Regardless of the economy and its income, what Huawei has been doing is investing in its future, dedicated to R&D, continuously and resolutely. This provisional work underscores Huawei’s accomplishments, making Huawei anindustry leader.
So, there are standard answers on how to run a company,which could be summarized as concentration and professional dedication, continuous investment on innovation and trying harder in R&D. Entrepreneurship is also important, every single company needs entrepreneurs to push aside all obstacles and difficulties, to implement strategies and ideas. We, as investors, are destined to look for such outstanding entrepreneurs and their companies, invest in them and partner with them.
At this key point of history, a country, a company, or asingle individual, will all need to find the right path. Four decades after the Reform and Opening-up, it’s time to learn from our experience and stop “wadding across
