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Common Prosperity: A Trap for Chinese Big Caps?

Recently, we’ve been bombarded by headlines about Xi Jinping’s latest “common prosperity” campaign: For the uninitiated, here’s a quick definition of “common prosperity” and why investors are being spooked by its potential impact. What is “common prosperity” or 共同富裕 (gong tong fu yu)? According to UBS, China’s President Xi Jinping’s aim with the “common prosperity” … Read more

Is the China Stock Market “Uninvestable”?

Once again a major panic sell-down was initiated by investors amid broader crackdowns by the Chinese government. I understand that many who are invested in the Chinese stocks are worried about the recent crackdown and wonder if the China market is still a good opportunity to be investing in. Here’s are some of my thoughts. … Read more

2 ways China is quietly improving its innovation

Did you know that China ranked 14th in the Global Innovation Index*, although they are only 56th in the world in terms of GDP per capita? * the Global Innovation Index is a study conducted since 2007 and co-published by Cornell University and the UN’s World Intellectual Property Organisation Over the last decade, China has … Read more

4 issues holding China’s stock market back (& why investors should look beyond them)

It’s difficult for investors to ignore China’s size and GDP growth rate. In the history of the world, no economy has made such a big leap in a short period as China. However, there are some complexities surrounding China’s stock market that could make potential investors wary, while enticing opportunistic investors to jump in. Let’s … Read more

Why is Charlie Munger investing in China?

Charlie Munger is one of the big names in value investing, besides Warren Buffett. As many know, he is also the vice chairman at Berkshire Hathaway and longtime business partner of Warren Buffett. He told CNBC back in 2018 that China’s best companies are cheaper than those in the US and it should not be … Read more