NEWSLETTER | April 2007 | Issue 5 | Vol. 1

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Features

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Changes to Fuel More Direct Investment in China

Rising Tide China Capital

Chinese investors should be pleased with news events coming from China in the last several weeks. Land ownership reform is progressing nicely. Minor changes in foreign bank operations in China moved forward. Anti-corruption measures are in full swing across the country. China Explorer believes that Beijing is poised to make the Olympics next year a world class event which will be the young, newer China's coming out party into the global economy.

These positive changes in the legal landscape will fuel more direct investment in China and make investors such as ourselves more comfortable owning Chinese stocks for the long term. Our previous alert, China Life, is up almost 9% in four weeks. We continue to rate this a buy. In our January newsletter we talked about transportation. We think you should add to your China portfolio through Air China and Petro China now, expanding industry sector weightings to air transportation and the ever-important energy sector.

CHINA LIFE INSUR CO LTD ADS

Source is indicated above.

Foreign currency rates of exchange may adversely affect the value, price or income of any security or related investment in this report. Investing in Non-US securities, including ADR's is subject to risk.

The opinions and commentary provided by the advisors in the My Automated Advisor Newsletter are the opinion of those advisors and not of My Automated Advisor.

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