Daiwa reduced the target price of the Associated Press Group (1200.HK) from HK$6.40 to HK$4.60, maintaining the stock's holding rating due to the application of lower valuation standards. According to Daiwa, the Union Group is at a crossroads, and whether it can adapt to changes in the industry environment is the key; Daiwa added that currently the Hong Kong real estate agency industry is facing related challenges caused by changes in the operating environment. Since the Hong Kong government's special stamp duty and measures to restrict mortgage loans have affected the pace at which people are improving their living conditions and crowding out speculators, these will all affect the trading volume of the property market. The stock price of the Associated Union Group is equivalent to 1.59 times the 2011 book value (the average value since 2004 is 2.68 times), and the predicted dividend rate is 7.2%. Daiwa believes that the stock has long-term value, and that cyclical profit may increase when the operating environment improves; however, the implementation of the strategy by the Union management still needs to be observed. The United States Federation rose 1.5% yesterday to close at HK$4.18.