BNP Paribas Investment Partners has published a longer document detailing its views on China as a theme across a number of areas including equities, fixed income, currency, indexation and interbank regulations as they affect investors.
Expert eye on China details the manager’s analysis of these areas through individual chapters, but overall paints a picture of an economy that is entering a “new” phase that is being underappreciated by markets.
Volatitliy in the Chinese equity market may be a panacea for the bond market, however, there are still questions around currency, particularly the degree to which global investors should move to increase their exposure to the renminbi.
In the area of policy changes, BNP Paribas IP notes that there were further adjustments in the final months of 2015, which will increase China’s access to the global interbank market, as the country seeks to deepen the ties of its economy with the rest of the world.
Click here to read the full report: Expert-Eye-on-China_Q1-2016