VALUE PARTNERS CHINA GREENCHIP FUND LIMITED. (Incorporated as an exempted company in Cayman Islands with limited liability)

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2 Value Partners Limited 9th Floor, Nexxus Building 41 Connaught Road Central, Hong Kong Tel: (852) Fax: (852) Website: In the event of inconsistency, the English text of this Semi-Annual Report shall prevail over the Chinese text.

3 Contents Pages General information 2-3 Manager s report 4-8 Statement of financial position (unaudited) 9 Investment portfolio (unaudited) Investment portfolio movements (unaudited) 14

4 GENERAL INFORMATION Executive Directors Mr Tse Wai Ming, Timothy Mr Kee Chong Li Kwong Wing (appointed on 18 July 2013) Mr Mo Chun Wah, Jonathan (alternate director) (appointed on 18 July 2013) Mr Nigel David Stead (appointed on 18 July 2013) Mr Mo Chun Wah, Jonathan (appointed on 3 July 2013 and resigned on 18 July 2003) Ms Choy Kit Hung (resigned on 20 June 2013) Ms Hung Yeuk Yan Renee (resigned on 18 July 2013) Manager Value Partners Limited 9th Floor, Nexxus Building 41 Connaught Road Central Hong Kong Directors of the Manager Mr Cheah Cheng Hye Mr Ho Man Kei, Norman Mr So Chun Ki Louis Custodian and Administrator s Agent HSBC Institutional Trust Services (Asia) Limited 1 Queen s Road Central Hong Kong Administrator and Principal Office Bank of Bermuda (Cayman) Limited P.O. Box 513 HSBC House 68 West Bay Road Grand Cayman KY Cayman Islands Registered Office P.O. Box 309 Ugland House South Church Street George Town Grand Cayman Cayman Islands British West Indies Auditor PricewaterhouseCoopers P.O. Box 258 George Town Grand Cayman, KY Cayman Islands Legal Advisors With respect to Cayman Islands law Maples and Calder 53rd Floor, The Center 99 Queen s Road Central Hong Kong With respect to Hong Kong law King & Wood Mallesons 13th Floor, Gloucester Tower The Landmark 15 Queen s Road Central Hong Kong Information available from: Value Partners Limited 9th Floor, Nexxus Building 41 Connaught Road Central Hong Kong Telephone : (852) Fax : (852) vpl@vp.com.hk Website :

5 GENERAL INFORMATION (Continued) Recent awards and achievements Corporate awards Top 100 Hedge Fund Value Partners was ranked as Asia s largest hedge fund manager, and 62 nd worldwide Institutional Investor s Alpha Magazine, May Asia Hedge Fund 25 Value Partners was ranked No. 1 in Asia Hedge Fund 25 for 3 consecutive years (since 2010) Institutional Investor, July 2012 Lipper Fund Awards 2012 Best Equity Group 3 Years Lipper* 2011 Best of the Best Region Awards CIO of the Year in Asia Co-Winner: Cheah Cheng Hye and Louis So (Value Partners Co-CIOs) Asia Asset Management * Based on data as of year end Value Partners China Greenchip Fund Limited 2013 Lipper Fund Awards 2013 Best Equity Greater China Fund 5 Years Lipper^ 2012 Lipper Fund Awards 2012 Best Equity Greater China Fund 3 Years Lipper^ 2011 Best of the Best Performance Awards Greater China Region Equity 3 Years category Asia Asset Management# 2011 Lipper Fund Awards 2011 Hong Kong Best Equity Greater China Fund 3 Years Lipper^ Best of the Best Awards 2010 Best of the Best Performance Awards Greater China Region 3 Years category Asia Asset Management# ^ The 2013, 2012 and 2011 awards are based on the returns as of year end 2012, 2011 and 2010 respectively. # Judging for the 2011 and 2010 Best of the Best Awards involved the submission of nomination forms to Asia Asset Management judges, on or before 19 December 2011 and 17 December 2010 respectively. Funds are judged based on their annual performance, ending on 30 September 2011 and 2010 respectively. Judging criteria for the China Greenchip Fund s performance was dependent on the nominated fund s fund size, performance against its peers, 3-year return, and monthly and year-to-date. 3

6 MANAGER S REPORT In the second quarter, investors took risk off the table due to the concerns on tapering with the Quantitative Easing in the US. China, at the same time, was experiencing a slowdown in economic growth, causing losses this year in China-related stockmarkets. Despite this, we have been able to limit our loss: year to date, the Fund is down 1.0%; for reference, year-to-date losses of 5.8%, 15.6% and 10.9% were noted in the Hang Seng, Hang Seng China Enterprises (H-shares) and MSCI China indices, respectively. Over a longer horizon, the Fund still delivered a strong performance. On a 12-month basis, the Fund is up 21.7%; for reference, gains of 10.9%, 1.4% and 5.1% were noted in the Hang Seng, H-share and MSCI China indices, respectively. Currently, the valuation of China-related stocks is at an exceptionally cheap level. The price-toearnings ratio of the market for 2013 is at only 6.8 times for the H-share index, which appears similar to the trough valuation seen in Before rushing to buy, however, we have to consider the risk of further disappointments for the market. While the latest reform program by the Beijing government may bring long-term gain to China which in turn is expected to benefit the Asia region and the world, there is a degree of short-term pain in the form of reduced spending and lower growth. During this interval, the Fund may increase the cash from time to time. The medium- to long-term outlook for China remains attractive, and we believe this is only a short term measure. Controlled crisis As the quarter approached its end, eyes were on China s domestic concerns with the SHIBOR (Shanghai Interbank Offer Rate) moves in June. However, the risks petered out as fast as they came with rates returning to the normal level as we moved into the third quarter. We believe that this has been a controlled crisis enacted by regulators.

7 MANAGER S REPORT (Continued) Controlled crisis (Continued) Historically, we have seen SHIBOR rises approaching quarter ends and also during holidays, reflecting tighter banking liquidity. The spikes in rates were actually worsened by the People s Bank of China withdrawing liquidity from the system. The central banks decision to refrain from injecting liquidity signaled to banks that they should limit their use of the interbank market to fund some of the popular wealth management products, which are potentially creating froth in the system. The act reflects the government s resolve in pursuing structural adjustment to support the changing economy. We believe there is no systematic banking crisis evolving but a call for a more robust banking system, greater transparency and better liquidity. Structural reforms cutting across financial, economic and social aspects will likely help China unleash the potential in consumption and private investment while driving a more balanced overall development. For the hukou system, the State Council has already announced measures to improve migrant workers access to social benefits in smaller cities. This may well be the beginning of a gradual but ultimately significant shift. We expect more meaningful reforms to be announced around the National Party Congress later this year, covering financial and fiscal liberalization, deregulation and urbanization. Portfolio strategy In the sea change, value investing may prove more effective than other styles over the long term as it has been the case in the China market. A CLSA report released in June 2013 finds that since 2000, the value style recorded the strongest annualized outperformance of 20%. We are confident that our core competence in picking value stocks in this market will help maximize the harvest going forward.

8 MANAGER S REPORT (Continued) Portfolio strategy (Continued) During the second quarter, we de-risked the portfolio in the face of escalating market risks by selling down exposure. Our portfolio remains focused in the consumer space, particularly in areas we consider less vulnerable to growth moderation. The consumer discretionary, telecom services and healthcare sectors were strong contributors to the Fund in the review period. The key detractors were in consumer staples, financials and the technology sector where we saw weak PC demand globally. We saw favorable results from selected stock picks; an example would be Galaxy Entertainment Group ( Galaxy ), which was announced in May 2013 to become a constituent stock of the Hang Seng Index. Through our regular research conducted on Galaxy and the gaming sector in Macau, we noticed Galaxy s strategic market positioning and strong execution have been overlooked by the market. We started to build our position in 2012, since we saw its valuation discount against peers might not be justified. The stock posted a strong rally since then, as investors gradually came to believe in Galaxy s long-term potential in gaining more market share. Awards and steady inflows On our way to becoming the Temple of Value Investing in Asia, Value Partners continues to receive more recognition. In the 2013 Hedge Fund 100 ranking released in May by Institutional Investors, Value Partners was ranked the 62 nd globally by assets under management as of 2 January 2013, while taking the top spot in Asia. Despite market volatility, our group continued to see strong support from both retail and institutional investors, achieving net inflows in the first half of this year. Our group came in as the no. 5 market leader in Financial Times quarterly industry review on funds, in terms of net sales in the first quarter of 2013.

9 MANAGER S REPORT (Continued) Awards and steady inflows (Continued) We are pleased to report that our Chairman and Co-CIO, Mr Cheah Cheng Hye, received in June an Honorary Fellowship from the Hong Kong University of Science and Technology for his contribution to the university and society at large. Also worth mentioning is that our senior fund manager Mr Eric Chow was appointed as a member of the Listing Committee by the Stock Exchange of Hong Kong. Value Partners Limited 20 August 2013 Fund performance mentioned referred to non-redeemable class N/redeemable class A of Value Partners China Greenchip Fund Limited. All performance figures are sourced from HSBC Institutional Trust Services (Asia) Limited and Bloomberg (Data computed in HK$ terms on NAV-to-NAV basis with dividends reinvested) as at 30 June Performance data is net of all fees. Individual stock performance is not indicative of fund performance. Investors should note that investment involves risk. The price of units may go down as well as up and past performance is not indicative of future results. Investors should read the explanatory memorandum for details and risk factors in particular those associated with investment in emerging markets. This commentary has not been reviewed by the Securities and Futures Commission. Issuer: Value Partners Limited.

10 MANAGER S REPORT (Continued) Value Partners China Greenchip Fund Limited NAV per share = HK$50.56 (as at 30 June 2013) Since launch return compared to indices From 8 April 2002 to 30 June % 600% 500% 400% Value Partners China Greenchip Fund Limited (non-redeemable class N) Hong Kong Hang Seng Index # MSCI China Index % % 300% 200% 100% % 0% -100% 4/02 5/03 7/04 8/05 9/06 11/07 12/08 2/10 3/11 5/12 6/13 # Hang Seng Index refers to Hang Seng Price Return Index up to 31 December 2004, thereafter it is the Hang Seng Total Return Index. Hang Seng Total Return Index includes dividend reinvestment whereas Hang Seng Price Return Index does not take into account reinvestment of dividends.

11 STATEMENT OF FINANCIAL POSITION as at 30 June 2013 (unaudited) HK$ HK$ Assets Financial assets at fair value through profit or loss 1,103,299, ,000,769 Amounts receivable on sales of investments 15,086, ,207 Amounts receivable on subscription of shares 8,054,721 3,706,725 Dividends and interest receivables 6,603, ,748 Margin deposits 740 4,186,496 Bank balances 96,321,735 52,857,777 Total assets 1,229,366, ,957,722 Liabilities Financial liabilities at fair value through profit or loss 3,819,760 Amounts payable on purchase of investments 36,142,675 25,730,292 Amounts payable on redemption of shares 7,219,345 17,774,179 Management fee and performance fee payable 1,378, ,097 Accruals and other payables 496, ,158 Liabilities (excluding net assets attributable to shareholders) 45,237,354 48,502,486 Net assets attributable to shareholders (before adjustment on fair value of investments) 1,184,128, ,455,236 Adjustment for different bases adopted by the Fund in arriving at the net assets attributable to shareholders 5,158,962 2,019,780 Net assets attributable to shareholders 1,189,287, ,475,016 Net asset value per share Class N Shares with 1,366,250 ( : 1,387,500) shares outstanding Class A Shares with 22,157,777 ( : 12,126,319) shares outstanding

12 INVESTMENT PORTFOLIO (Unaudited) As AT 30 June 2013 FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS Listed equity securities % of net Holdings Fair value assets HK$ China China Vanke Co Ltd 4,133,634 57,044, Chongqing Changan Automobile Co Ltd 4,145,403 37,971, Lu Thai Textile Co Ltd 1,435,612 11,700, Weifu High-Technology Group Co Ltd 488,617 13,192, ,908, Hong Kong H shares Agricultural Bank of China Ltd 3,695,000 11,824, Bank of China Ltd 9,585,000 30,384, Beijing Capital Land Ltd 2,896,000 8,137, China Construction Bank Corp 2,835,000 15,535, China Galaxy Securities Co 519,500 2,462, Dongfeng Motor Group Co Ltd 942,000 9,759, Guangzhou Automobile Group Co Ltd 2,040,000 14,932, Haitong Securities Co Ltd 1,191,600 11,189, Huaneng Power International Inc 2,434,000 18,668, Industrial and Commercial Bank of China Ltd 2,092,000 10,208, PetroChina Co Ltd 6,324,000 52,173, Ping An Insurance (Group) Co of China Ltd 376,000 19,627, Shanghai Fosun Pharmaceutical (Group) Co Ltd 668,500 8,436, Shanghai Pharmaceuticals Holding Co Ltd 504,000 7,297, Sinopec Engineering Group Co Ltd 2,029,500 21,106, ,744, Hong Kong Red chips China Power International Development Ltd 4,162,000 12,069, China Resources Gas Group Ltd 1,062,000 21,027, CNOOC Ltd 1,547,000 20,327, Lenovo Group Ltd 3,352,000 23,531, Sinopec Kantons Holdings Ltd 1,340,000 9,661, ,617,

13 INVESTMENT PORTFOLIO (Unaudited) (Continued) As AT 30 June 2013 FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS (Continued) Listed equity securities (Continued) % of net Holdings Fair value assets HK$ Hong Kong Others AEON Stores (Hong Kong) Co Ltd 210,000 3,192, Bonjour Holdings Ltd 7,312,000 10,309, Chevalier International Holdings Ltd 374,000 5,236, China Metal International Holdings Inc 5,976,000 11,234, China Singyes Solar Technologies Holdings Ltd 2,239,000 18,158, China ZhengTong Auto Services Holdings Ltd 3,433,500 12,532, Chow Sang Sang Holdings International Ltd 776,000 12,214, Digital China Holdings Ltd 1,174,000 10,847, Dorsett Hospitality International Ltd 7,152,000 12,802, ENN Energy Holdings Ltd 526,000 21,592, Esprit Holdings Ltd 532,900 6,149, Far East Consortium International Ltd 4,529,000 11,730, Four Seas Mercantile Holdings Ltd 6,855,600 18,990, Haitong International Securities Group Ltd 1,617,000 5,578, Hengan International Group Co Ltd 177,500 14,865, Hopefluent Group Holdings Ltd 9,134,000 22,652, Intime Retail (Group) Co Ltd 1,045,000 7,910, IT Ltd 2,904,000 8,015, Ju Teng International Holdings Ltd 2,998,000 10,882, Kaisa Group Holdings Ltd 3,555,000 6,221, Kingboard Chemical Holdings Ltd 1,140,600 18,203, Kingboard Laminates Holding Ltd 5,327,000 16,300, Labixiaoxin Snacks Group Ltd 3,101,000 11,845, Luen Thai Holdings Ltd 4,645,000 13,238, Lung Kee (Bermuda) Holdings Ltd 1,604,000 4,715, Orient Overseas (International) Ltd 291,000 14,419, Oriental Watch Holdings Ltd 4,336,000 10,970,

14 INVESTMENT PORTFOLIO (Unaudited) (Continued) As AT 30 June 2013 FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS (Continued) Listed equity securities (Continued) % of net Holdings Fair value assets HK$ Hong Kong Others (Continued) Pacific Online Ltd 264, , Pacific Textiles Holdings Ltd 1,197,000 10,389, PanAsialum Holdings Co Ltd 3,831,000 9,424, Real Gold Mining Ltd 1,270,000 1,778, Shenzhou International Group Holdings Ltd 1,020,000 22,440, Stelux Holdings International Ltd 3,328,000 8,586, Techtronic Industries Co Ltd 985,500 18,054, Termbray Petro-King Oilfield Services Ltd 411,000 2,071, Texwinca Holdings Ltd 3,868,000 27,849, Varitronix International Ltd 3,256,000 17,810, Victory City International Holdings Ltd 10,970,000 11,518, Vinda International Holdings Ltd 3,441,000 27,080, Wasion Group Holdings Ltd 3,048,000 14,630, Welling Holding Ltd 5,848,000 9,298, Winteam Pharmaceutical Group Ltd 1,034,000 3,515, Xinyi Glass Holdings Ltd 2,628,000 15,820, Xtep International Holdings Ltd 1,752,500 5,643, ,612, Japan Toyo Suisan Kaisha Ltd 50,000 12,915, Singapore Ezion Holdings Ltd 591,000 7,615, Tianjin Zhong Xin Pharmaceutical Group Corp Ltd 1,123,000 9,495, ,110,

15 INVESTMENT PORTFOLIO (Unaudited) (Continued) As AT 30 June 2013 FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS (Continued) Listed equity securities (Continued) % of net Holdings Fair value assets HK$ South Korea Hynix Semiconductor Inc 28,000 5,922, SK Telecom Co Ltd 12,165 17,347, ,270, Taiwan Adlink Technology Inc 611,000 6,231, Asustek Computer Inc 253,000 16,896, Li Peng Enterprises Co Ltd 3,481,000 11,218, TPK Holding Co Ltd 71,000 8,821, WPG Holdings Ltd 891,000 8,164, ,332, Unlisted equity securities Euro-Asia Agricultural (Holdings) Co Ltd 4,266,000 Gold Securities Loco London Gold securities 2,400 22,786, Total financial assets at fair value through profit or loss 1,103,299, Total investments 1,103,299, Total investments, at cost 1,141,882,

16 INVESTMENT PORTFOLIO MOVEMENTS For the six months ended 30 June 2013 (Unaudited) % of net assets Listed equity securities China Hong Kong H shares Red chips Others Japan 1.09 Singapore South Korea 1.96 Taiwan Thailand 1.23 United States Gold securities Total investments, net