Henderson's Beal refutes China asset bubble fears

Henderson's Andy Beal is looking to increase his exposure to Chinese property, refuting any suggestion China is experiencing an asset bubble.

The manager of the Henderson TR Pacific trust says suggestions China’s property market is overheating are inaccurate. “The Chinese housing market is not in a bubble, there is an absence of leverage and you need that to create a bubble,” he says. “There have been some local markets where you saw extraordinary increases in prices, but in general houses prices have not been growing in line with wages. “In addition, the Government has clamped down hard on lending. It is now nearly impossible to get a mortgage for a second or third home,” he adds. Beal already has 13.5% in the sector...