New research with 150 European institutional investors and wealth managers who have a combined AUM of $292.8 billion, highlights the growing importance of China’s fixed income market, with 63% expecting foreign investment into the asset class to increase in Q1 2021, compared to Q4 of 2020.
In its 2021 edition, the report focuses on topics such as the growth of the digital economy in sales, the adoption of greener and healthier lifestyles and the increase in discretionary purchases in markets such as China, India, Indonesia, Thailand, Turkey, Brazil and Mexico.
The study was carried out by NTree International Ltd on behalf of investment manager China Post Global, which promotes a family of innovative Exchange-Traded Funds (ETFs).
In our view, China’s policymakers are likely to manage the economy with these ox-like characteristics; we could see more measured and targeted structural policies rather than a blanket-like aggregate approach.
During the Ant Group IPO process, we noted that regulatory risks would likely continue to be an issue for the company. Though it was certainly not expected to come so soon! It is widely well known at this point that the acceleration in regulatory scrutiny over Ant’s business was largely a response due to disparaging comments Jack Ma made about the state of financial regulations in the country.