China beat market expectations with a 7% year-on-year growth for the second quarter. But in the second half, fund houses are concerned about the financial sector.

China beat market expectations with a 7% year-on-year growth for the second quarter. But in the second half, fund houses are concerned about the financial sector.
Currently some 70% of listed European equities have a dividend yield higher than European credit, according to Stan Pearson, head of European Equity at Standard Life Investments.
Singapore retail investors have made a significant allocation shift over the last six months away from multi-asset and balanced funds into equity funds, bond funds and hedge funds.
Asian dividend yield remains a strong theme despite the widely- anticipated US rate hike, said King Fuei Lee, fund manager for Asia ex-Japan equities at Schroders.
The recent suspension of trading in 1300 A-share stocks could delay their much-awaited inclusion in MSCI’s emerging market index, fund houses said.
The continuing fall in China’s stock market puts the country’s entire financial system and structural reform agenda at risk, according to Axa Investment Managers and Schroders.
The mutual recognition of funds (MRF) initiative will eventually result in a wave of ETF houses bringing products to Hong Kong, said Toby Bland, chief executive of Enhanced Investment Products in Hong Kong.
Principal Global Investors intends to distribute funds through the mutual recognition of funds initiative, and is in talks with joint venture partner China Construction Bank about mainland products, said Kirk West, head of international offices and chief executive officer of Asia.
Sandra Crowl, member of Carmignac Gestion’s investment strategy committee, examines how structural reforms and liberalisation of the financial markets will keep the limelight on China in 2015.
The mutual recognition of funds initiative will act as a catalyst in re-rating offshore China equities and Hong Kong’s undervalued H-share market will be the first to benefit from inflows, according to Mansfield Mok, fund manager at EFG Asset Management.
Part of the Mark Allen Group.