Guinness Global Innovators shifts China holdings on back of political uncertainty

Volatility not an opportunity

clock • 2 min read

The £550m Guinness Global Innovators fund recently exited some of its holdings with direct exposure to China, including Tencent, in response to “regulatory and political uncertainty” in the country.

Co-manager Ian Mortimer said he does not view the volatility in Chinese markets, in response to the regulator's crackdown on technology companies and its ban on for-profit tutoring and education companies, as an investment opportunity at the moment. "When it is regulatory or political uncertainty it is very difficult to price because, by definition, you do not know what is going to come next," he said.  "Clearly, what we are seeing in China, I would not say it is unprecedented - we have seen things like that before - but in its scale it seems very large and it seems very broad." Th...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Asia

Aviva Investors' Wakefield: Is Japan's stock-market sugar rush sustainable?

Aviva Investors' Wakefield: Is Japan's stock-market sugar rush sustainable?

New regulations to 'improve competitiveness'

Baylee Wakefield
clock 14 March 2024 • 4 min read
 abrdn's Yeo and Kwik: Will the dragon soar in 2024 for China?

abrdn's Yeo and Kwik: Will the dragon soar in 2024 for China?

'Cause to be optimistic'

Elizabeth Kwik and Nicholas Yeo
clock 09 February 2024 • 4 min read
What happened to China in 2023?

What happened to China in 2023?

Nine experts debate

Investment Week
clock 16 January 2024 • 5 min read
Trustpilot