Some investors have written China off. Some even consider the country uninvestable. However, many Chinese companies now lead their global sectors with promising prospects.
This paper discusses how passive investment strategies have driven the market narrowness and increased equity markets’ price inelasticity.
While some companies are favourably positioned to capture long-term value from a data-driven business model, for the majority, data will be a prerequisite to remain competitive and not necessarily a long-term driver of shareholder value.
We emphasise the sustainability of earnings growth over the magnitude of earnings growth. Consumer Staples companies are increasingly challenged as they face cost inflation and increased sustainability costs.
A small island in Japan called Kyushu is now known as “Silicon Island” due to the massive investments from TSMC and other tech companies. C WorldWide has portfolio exposure to several mentioned companies in this Insight. Read here:
