Mr. Do: To answer your question of which geographical sectors we like, China remained the largest overweight in the Asia Pacific Fund, Inc. As far as equity markets are concerned, from March 2008 up to now, as we all know, global markets have gone through an unprecedented volatile period similar to a giant roller-coaster ride, both on the way down last year and up this year. Global and Asian markets fell dramatically in the fourth quarter of last year, and since that time Asian markets have made a very strong recovery. U.S. markets did the same, but the recovery in Asia has been more spectacular compared to that in the U.S. This is supported by the fact that the liquidation of Asian stock markets last year was more to do with a desperate need to raise liquidity rather than a sign of fundamental deterioration of the economics of Asia. After this short-term setback, the fundamentals in Asia have reasserted themselves in 2009, especially when China embarked on a very large fiscal spending program as well as easing monetary policy. These policy moves have helped the Chinese economy to recover extremely quickly. This was evidenced in the release of the second- and third-quarter GDP numbers in China this year, showing that the annualized growth in China has reaccelerated to 10%-plus in those two quarters. In addition, earnings-per-share growth also has been revised upwards very strongly, to the point where the 2009 earnings for the region, instead of showing a decline as analysts expected at the beginning of this year now turned into a positive growth number. So that is a great turnaround in earnings-per-share growth expectations, and this obviously has supported the strong recovery in equity markets in Asia.
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