Since its initial Open Door Policy in 1978, China’ economy has experienced rapid growth to become the world’s second largest economy in GDP terms. In the coming year, China is expected to move into the next phase of opening up its economy by lifting its many restrictions on the foreign ownership of stocks, bonds and other securities. This will make its economy more accessible than ever before, and make investing in China much easier than it is now. As this chart from Alliance Bernstein shows, the Chinese equity market is huge and rapidly expanding, and future diversified global investors will find that including Chinese investments in their portfolios is not an option, but a necessity.
Chinese Equity Market
| November 11, 2019