Aviation investment opportunities taking off in China and EM
The rise in aviation in China and emerging markets is presenting investment opportunities even for those unable to participate directly, says EdenTree.
The rise in aviation in China and emerging markets is presenting investment opportunities even for those unable to participate directly, says EdenTree.
The sharp increase in wealth management products to $3.6trn raises credit and liquidity risks at Chinese banks, the ratings firm said.
Advanced economies have become the net receiver of market shocks, while China and other emerging markets have turned into the sources, according to an IMF working paper.
For the rest of 2016, being less pessimistic could be what consumers need economies and companies to feel to encourage them to come to their rescue.
Anybody who says that China doesn’t have a credit problem is lying because when that much credit is pumped into the system there is no way that every single loan is a sound investment, according to Schroders’ head of Asian equities Singapore, Lee King Fuei.
Following months of market turmoil, the head of the China Securities Regulatory Commission (CSRC), Xiao Gang, was removed from his post and replaced by Lui Shiyu, the chairman of the Agriculture Bank of China.
Personal wealth is flowing out of China as domestic investors grow increasingly concerned over the markets and economic growth, according to Bank of East Asia.
Xin Qi, a Chinese asset management firm backed by property projects, has defaulted on CNY1.9bn (£203m, $291m, €261m) worth of investments, affecting thousands of retail investors across mainland China.
Investors are turning more cautious in the face of the turmoil in the financial markets this year, according to the latest Bank of America Merrill Lynch (BAML) Fund Manager Survey, with average cash balances up at their highest weighting since November 2001.
The ‘humiliation’ of emerging markets, led by China, is currently at an extreme says Bank of America Merrill Lynch.
China’s foreign exchange regulator has officially implemented a new capital and risk regime for insurance companies, according to the Chinese news agency Xinhua.
A quarter of advisers say they do not plan to allocate any investments to China over the next six months, according to research from Cofunds.