China – an opportunity too big to ignore?

Keep it brief

  • China’s rapid development is recognised as one of the most important shifts in the global economy. As one of the world’s second largest economy1, China is a major global player and is on a trajectory to rival the U.S.
  • China’s economic surge can be attributed to numerous factors such as large scale capital investment, drastic productive growth or increased domestic consumption. However, annual economic growth has not always translated into comparable growth in domestic stock markets2. This could change as the country opens up to foreign investment and lowers barriers to entry.
  • Not only is China now more open to investment, it is also the source of new business opportunities - driven particularly by a growing middle class and domestic consumption. Domestic consumption is driving China’s economy, making this sector a significant area of focus for investors.
  • Despite the size and the growth of the market, China is currently under-owned as foreign investors hold just 3%3 of the broad market in China.

₁ Source: World Bank, October 2019
² Source: MSCI, May 2019
³ Source: People’s Bank of China, July 2019

Capital at risk. The value of investments and the income from them can fall as well as rise and are not guaranteed. The investor may not get back the amount originally invested.

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Why BlackRock for China?

Team, Knowledge, Expertise, Access. BlackRock’s team of investment professionals, in China and around the world, provide a unique perspective on the market to deliver a range of investment solutions across a range of asset classes and investment styles.

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Discover the China Opportunity
Much is changing in China and this has material implications for all investors, whether individuals or large, and or sophisticated institutional investors. The cost of ignoring this emerging opportunity might prove too high, especially over the longer term.
Is China too big to ignore