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Investment Perspectives - Spring 2022

China and investing in emerging markets

19 May 2022

Is China still an attractive opportunity for investors?

In the face of rising geopolitical risks, government regulatory interventions and the ever-growing importance of Environmental, Social and Governance (ESG) factors, this article discusses the opportunity and challenges of investing in Chinese equities.

The Chinese economy has experienced significant structural changes and capital market reforms. This is likely to continue and could lead to better risk-adjusted returns for Chinese equities. However, there is a lot of variability around these long-term expectations. This includes geopolitical risks, the pace of structural reforms, Chinese government policies to rebalance inequality in its economy, corporate governance, market liquidity and other ESG factors.

Read the article to examine if China is still an attractive opportunity for investors.

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