Morningstar Advisor - December/January 2012 - (Page 6)

Contributors MorningstarAdvisor Editor-in-Chief Jerry Kerns Managing Editor Ryun Patterson Daniel Rohr Daniel Rohr covers mining stocks at Morningstar, a job that requires him to spend a good deal of time thinking about the Chinese economy. For many industries, China is the “future.” But for mining, the future is already here, as China already ranks as the world’s largest consumer of industrial metals like copper and iron ore. Rohr’s article in this issue’s Spotlight section (“Investment Boom Unsustainable,” Page 34) explores the drivers of Chinese growth in the past decade and their sustainability in the decade to come. Editor-at-Large Don Phillips Contributing Editors Dan Culloton, Paul Justice, Haywood Kelly Contributors Greg Carlson, Sumit Desai, Adam Fleck, Philip Guziec, Zhao Hu, David Krempa, Samuel Lee, Wei Men, Sunny Ng, Patricia Oey, Eric Ong, Michael Rawson, John Rekethaler, Carl Richards, Daniel Rohr, Kate Stalter, Iris Tan, Hua Ye Data Editors Mnason Chew, Preethi Parmar, Alina Tarlea Proofreader Jennifer Gierat Art Director Alexander Skoirchet Illustrator Stuart Bradford Photographer Chris Low Stuart Bradford Stuart Bradford had a challenge in front of him doing this issue: illustrating China’s growing global presence without being heavy handed or implying something negative. “The solution ended up presenting China as central to how we view our world, as if our cosmos was reimagined with a new sun, new stars” Bradford says. “There is something about looking to the sky attempting to divine the heavens, mapping the universe that seemed to reflect the study of China, the drive to research and understand a mystery.” Bradford is a regular contributor to The New York Times. He also illustrated our August/September 2009 issue. Publisher Leslie Banks Director of Advertising Sales Mary Uribe Regional Sales Directors Dan Atkinson, Tony Lignelli, Kristina Niemi, Stuart Roge Morningstar, Inc. Chairman and CEO Joe Mansueto President, Equity and Credit Research Group Catherine Odelbo Sr. Vice President, Financial Communications Business Mike Barad Managing Director, Design David Williams How to Reach Morningstar Advisor Subscriber Services and Circulation Editorial and Letters to the Editor Advertising Rate card available at Sunny Ng Sunny Ng (who wrote “China Strong Long Term,” Page 46, for the Spotlight section) is director of Fund Research for Morningstar Asia, overseeing Morningstar’s qualitative fund research efforts in Hong Kong, Singapore, and Taiwan. Born in Canada, Ng spent five years living in Hong Kong as a youth. For Morningstar, Ng relocated to Hong Kong earlier this year. “Hong Kong is a very exciting city, and I am very much enjoying the people, culture, and food,” he says. “Although the weather is a little too hot for my liking. I guess you can’t have it all!” Reprints and Licensing How to Reach Morningstar Customer Service +1 312 384-4000 Advisor Product Sales +1 877 586-5405 Data Questions +1 312 696-6600 Morningstar Advisor is published bimonthly by Morningstar, Inc., 22 W. Washington St., Chicago, IL 60602. An annual subscription for delivery in the U.S. is $60. All exhibit data in this magazine is provided by Morningstar and Ibbotson Associates unless otherwise noted. © 2011 Morningstar. All Rights Reserved. The information contained herein: (1) is intended solely for informational purposes; (2) is proprietary to Morningstar and/or its content providers; (3) may not be copied or distributed; (4) is not warranted to be accurate, complete, or timely; and (5) does not constitute investment advice of any kind. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. “Morningstar” and the Morningstar logo are registered marks of Morningstar, Inc. Hua Ye, Zhao Hu, Iris Tan, and Wei Men Morningstar’s Shenzhen-based equity researchers (who wrote ”Where China’s Domestic Companies Stand to Benefit,” Page 42, in Spotlight) began tracking China-listed companies in 2009 and now cover about 120 companies listed on China’s mainland and Hong Kong exchanges. Senior analyst Iris Tan says that analysts in China face plenty of difficulties, including limited disclosure rules, heavy government intervention, and less recognition for value investing. “Despite these difficulties and defects,” Tan says, “we have an optimistic outlook on China’s stock market thanks to the robust economic growth and China’s underpenetrated consumer market.” Disclosure: Morningstar licenses its indexes to certain providers, including Blackrock Institutional Trust Company, N.A., First Trust, and Deutsche Bank, for use in exchange-traded funds and exchange-traded notes. These ETFs and ETNs are not sponsored, endorsed, issued, or sold by Morningstar. Morningstar does not make any representation regarding the advisability of investing in ETFs and ETNs that are based on Morningstar indexes. 6 Morningstar Advisor December/January 2012

Table of Contents for the Digital Edition of Morningstar Advisor - December/January 2012

Morningstar Advisor - December/January 2012
Letter From the Editor
Seduced by Complexity
Is China Exposure Important for a Portfolio?
A Niche Built on Trust
How to Find Your Client’s Investment Style
Taking the Long View
Consensus on Europe Elusive
Four Picks for the Present
Investment Briefs
Is Perception Reality for Active Managers?
Be Alert for Basic-Materials Bargains
Investment Boom Unsustainable
Digging Moats in China
Where China’s Domestic Companies Stand to Benefit
Arising Opportunities
China Strong Long Term
From Currency Manipulation to International Acceptance
The Keys to China’s Fortune
Wedgewood’s Lessons Pay Off
Reading the Evidence on Indexing
Scouting for Investments Abroad
Yield, Please (Hold the Europe)
Mutual Fund Analyst Picks
50 Most Popular ETFs
Undervalued Stocks With Wide Moats
China Fund Managers Eat Elsewhere

Morningstar Advisor - December/January 2012