Recent reports indicate a growing optimism among foreign investors towards the Chinese market. For instance, the number of new foreign-invested firms established in China surged by 74.4% year-on-year in January 2024, reflecting a strong confidence in China’s improving investment environment (CGTN News).
Moreover, Chinese stocks have been attracting significant foreign capital. Over the past few months, foreign funds have invested more than $11 billion in Chinese stocks, buoyed by a rebound in manufacturing and economic recovery signs (South China Morning Post). Investment banks like Goldman Sachs, UBS, and BNP have also become more positive about Chinese stocks, noting that foreign selling has subsided (South China Morning Post).
Additionally, surveys by the American Chamber of Commerce in China and European business groups indicate a rising interest in the Chinese market, with many companies identifying China as a top investment destination (CGTN News).
Overall, while there are challenges, the outlook for Chinese investments appears more optimistic as the market stabilises and foreign interest grows.
Fidelity China Special Situations PLC (LON:FCSS), the UK’s largest China Investment Trust, capitalises on Fidelity’s extensive, locally-based analyst team to find attractive opportunities in a market too big to ignore.