Our Blog

08
Jul

China’s Tech Industry: From Copy/Paste to Innovation

It’s not exactly a secret that the early days of China’s tech industry, just like the early days of pretty much all of its other sectors, revolved around let’s say “importing” technology if we were to be elegant, whereas others (especially US entities) would most likely choose more blunt terminology. In other words, something which

07
Jul

China’s (Un)Employment Situation: Past Performance, Current Numbers and Future Challenges

As the structure of China’s economy changes, moving toward Western trends that are indicative of a maturing market, the labor dynamics inevitably go through changes as well and as someone who is either holding Chinese assets or interested in gaining some exposure, it’s important to stay on top of these developments. First and foremost, one

07
Jul

China’s Banking System: Past, Present and Future

We’ve covered various concerns pertaining to China’s shadow banking system in a previous article, so it makes sense to also pay attention to… well, its “actual” banking system. And, right off the bat, let’s just say the “Past” dimension of this article will be very brief, for the simple fact that there isn’t really all

07
Jul

China’s Love/Hate Relationship with Bitcoin and Crypto

It’s impossible not to follow bitcoin and cryptocurrencies without noticing how important the Chinese variable is and has been, despite the authorities in China having little love for digital currencies. In other words, the “love” dimension of the relationship is represented by the fact that a lot of Chinese INVESTORS want to have bitcoin/crypto exposure,

06
Jul

China – India Relations: From Common Economic Goals to Geostrategic Concerns

China, with its population that exceeds 1.4 billion and India, with a population that exceeds 1.3 billion and is getting close to the 1.4 billion milestone, represent the world’s #1 and #2 nations by population and at the same time, countries that have grown tremendously from a GDP perspective and are poised to maintain their

06
Jul

Shadow Banking in China: Is Enough Being Done?

In 2019, we can confirm the first full-year decline in terms of Chinese shadow banking volume in over 10 years (2018 compared to 2017), after the authorities started paying serious attention to this dimension of the financial sector as of 2017. Still, we’re looking at a whopping $9.1 trillion in outstanding shadow banking loans, which

06
Jul

Short Term vs. Long Term Investing in China

Far too many investors make the mistake of believing that just because a certain asset, asset class or even jurisdiction is “hot” or let’s say has had a remarkable track record (as is the case with China), it automatically means that everything you touch will turn to gold right away. Unfortunately for them, such beliefs

05
Jul

(How) Is China Combating Bureaucracy and Administrative Inefficiency?

In China and pretty much everywhere else in the world, the administrative apparatus tends to be (in)famous for excessive bureaucracy, inefficient spending and… well, generally speaking, being disconnected from the proverbial real world. This tends to be a problem because not only is money being lost as a result of various combinations between incompetence and

05
Jul

China and Taiwan: Economic Strength vs. Geopolitical Vulnerabilities

As an analyst, one cannot help but be prudent when describing the relationship between China and Taiwan… or, to be more precise, relationships (plural) because, frankly, it’s very difficult as well as sub-optimal to treat the Chinese-Taiwanese status quo in a uni-dimensional matter. The most straightforward approach, in this author’s view at least, is seeing

05
Jul

Is China Still an “Emerging” or “Developing” Country?

Whenever there is a lot of money involved, even aspects such as national pride become less important and the issue of whether or not China should be considered an “emerging” or “developing” country is perhaps a textbook example. Think of it as Asian “Realpolitik” or, in other words, China’s way of trying to get the