Great article, inspiring perspectives. I have also asked myself the question, China is experiencing numerous issues (i.e. worsening business environment, to a certain extent dysfunctional government, declining marginal return on investment, painful deleveraging, rapidly aging population and low birth rate), and some of the issues are structural, should I continue to focus on Chinese assets and devote research time into them? I have answered the question with "YES", mainly for 1 reasons: macro environment is only one aspect, what's more crucial is the quality and valuation of each individual assets. I do see more and more best quality Chinese assets selling at reasonable prices (sometimes even unreasonably low prices), whereas US quality assets are quite expensive and I don't think it's sustainable. It may be a long winter for Chinese assets in general, but I believe holding best quality low priced Chinese assets will offer good and sustainable long term return. :)
Hello Black Bread I come from Xueqiu, want to know any update comment on First tractor?
Great article, inspiring perspectives. I have also asked myself the question, China is experiencing numerous issues (i.e. worsening business environment, to a certain extent dysfunctional government, declining marginal return on investment, painful deleveraging, rapidly aging population and low birth rate), and some of the issues are structural, should I continue to focus on Chinese assets and devote research time into them? I have answered the question with "YES", mainly for 1 reasons: macro environment is only one aspect, what's more crucial is the quality and valuation of each individual assets. I do see more and more best quality Chinese assets selling at reasonable prices (sometimes even unreasonably low prices), whereas US quality assets are quite expensive and I don't think it's sustainable. It may be a long winter for Chinese assets in general, but I believe holding best quality low priced Chinese assets will offer good and sustainable long term return. :)
100% in agreement. Good luck to us all in the Year of Dragon! :)