CHENGDU, Dec. 6 (NBD) -- Mark Mobius, the executive chairman of the emerging market sector of Templeton Investments, said that he is optimistic about A-share.

In an exclusive interview with NBD last Sunday,  Mobius revealed that he and his team are interested in small and medium-sized enterprises (SMEs) as A-share is doing well. Few companies listed on the Shenzhen Stock Exchange are listed in Hong Kong before, but now, Shenzhen-Hong Kong Stock Connect (SZHKSC) brings opportunities.

The SZHKSC, he explained, enabled himself and his team to buy more stocks. He elaborated that their investment decisions depend largely on the valuation of the individual stocks.

According to Mobius, his company now invests more in Hong Kong stocks because his company believes that stocks of most A-share companies stand high. In Mobius’ opinion, A-share is more easily subject to policy changes, whereas the Hong Kong stock is more dependent on its valuation. Hence valuation differences between them. But such difference is likely to decrease.