A city view of Nanshan district, Shenzhen, South China"s Guangdong Province Photo: VCG

　　Amid recent geopolitical tensions in the Middle East, global risky assets have faced widespread downward pressure, driving investors to prioritize risk control and diversify their holdings amid heightened uncertainty. Against this volatile backdrop, China"s solid, better-than-expected first-quarter economic performance has stood out for its resilience, strengthening global investors" confidence in Chinese assets.

　　A rising number of analysts at international financial institutions say that yuan-denominated assets are evolving from an optional choice to a core holding in global portfolios, thanks to China"s steady economic growth, market stability, and unique defensive value in a turbulent global market.

　　There has been growing confidence among investors in yuan-denominated assets, as they view such assets as relatively safe, and China as a relatively stable market, Ding Shuang, chief economist for Greater China and North Asia at Standard Chartered, said in a note sent to the Global Times on Sunday.

　　"Investors have yet to identify a full-fledged alternative to dollar assets in the short term. However, the trend toward asset diversification is clearly gaining momentum," Ding said.

　　From China"s perspective, a moderate inflation rate, coupled with rapid growth in emerging industries, has already begun lifting returns on assets, including equities. This improvement in yields, combined with global demand for safe assets, greater openness and convenience for overseas investors to invest in China"s markets, and the introduction of more risk-hedging instruments, is expected to strengthen the appeal of yuan-denominated assets, according to Ding.