Tag Archives: S&P China 500

“Counter-cyclical” adjustment factor resumed to anchor Chinese currency

China resumed CNY fixing “counter-cyclical” adjustment factor The People’s Bank of China (PBOC) announced on August 24 that China’s CNY fixing reporting banks have resumed the counter-cyclical adjustment (CCA) factor in the CNY official midpoint this month. This is the second move of Chinese authorities after the adoption of a 20% reserve requirement of FX Read more […]

Quality over quantity: China’s Economic Growth Focus in 2018 – Part 2

After the Central Economic Work Conference (CEWC), specific plans and targets have been set for China’s economy. What are the investment opportunities followed the CEWC? Investment outlook To achieve high-quality development, the government will promote consumption and private investment to drive growth. Rural reform targeting to alleviate the poverty such as restoring land use rights Read more […]

The Investment Opportunity in China’s “New Era”

The 19th Party Congress of China, one of the most important political events in China this year, has cemented President Xi Jinping’s position as one of the most powerful leaders in decades. His name and political ideology are enshrined in the party constitution, known as “Xi Jinping’s Thought on Socialism with Chinese Characteristics for a Read more […]

Embracing the globalization of Chinese equities

For being the second largest capital market and the second largest economy in the world, China is underrepresented in most of the international benchmarks, which is unparalleled with its significance to the world economy. With increased access to the Chinese domestic equities market, one of the largest index compilers received broad support from international investors Read more […]

Sector Diversification: A Better Way to Track the Chinese Equity Market?

Different sectors within the same country can perform differently.  Not all sectors of the economy perform well during a bull market and vice versa.  Hence, an investment fund heavily focused on one or two sectors could be more volatile and susceptible to a single market incident or regulatory measure.  In addition, no particular sector can Read more […]

Is China a Building Block in Your Portfolio?

After China’s stock plunge in Q3 2015, many investors have had two different views toward China.  The bearish camp avoids buying Chinese stocks, as they think the Chinese market is volatile, and that the earlier stock market bubble has not fully burst when it comes to the problems of shadow banking, margin lending, and an Read more […]