A selloff in Chinese equities, as Beijing intensifies its regulatory clampdown, shouldn't cause an "existential crisis" among investors, according to JPMorgan Chase & Co.
"It's absolutely business as usual for investing in Chinese equities," said Gabriela Santos, a New York-based global market strategist at the bank's asset management unit. "The trick is not to see each thing that China says or does as an independent development. It's all a piece of a bigger puzzle."
Santos joins a small chorus of investors, including emerging-markets veteran Mark Mobius, sticking with Chinese equities despite a selloff that has erased about a third of the MSCI China Index's value in the past six months. Such losses are typical in China, according to Santos, and equities tend to rebound as much as 20 percent over the following six months.
Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.
Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
- Exclusive discounts on ALM and Treasury & Risk events.
- Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.
*May exclude premium content
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
