In this section, contributors share their views on economic and financial topics.
While many developed countries are struggling with high deficits, structural weaknesses in growth and ambitious valuations, numerous emerging markets are proving to be more stable in macroeconomic terms, more favourably valued, and more strategically indispensable than ever. Those who take a selective approach will find not only catch-up potential in China, India and other emerging markets, but also structural growth drivers with global relevance.
China: Growth figures despite macroeconomic challenges
China continues to be a rich hunting ground for growth companies. When looking at MSCI ACWI, more than 1/3 of the ‘growthy’ companies are from China (i.e. companies with 3Y forecasted revenue growth of >20% p.a.). Macro challenges such as property sector drag, soft consumer sentiment and geopolitical uncertainties remain, but two important pivots are supporting Chinese markets.
«Grassroots innovation is gathering momentum, from advanced manufacturing to AI.»
