Greater China stocks have grown about 40% year-to-date mostly on the back of global synchronized growth.
Chinese stocks grew almost 15% during the third quarter as China's economy remained resilient with GDP growing by 6.8%. Meanwhile, Hong Kong and Taiwan's economies both fared well. Overall exports from Hong Kong soared thanks to the global economic upturn. Service exports and private consumption expenditure propelled year-on-year growth to 3.6% in the third quarter, marking the fourth consecutive quarter of above-trend economic expansion. Taiwan's economy expanded by 3.1% year-on-year in the third quarter, beating market expectations on the back of higher exports and steady growth of domestic private consumption.
Kai-Kong Chay, Senior Portfolio Manager, Greater China Equities for Manulife Asset Management remains constructive on Greater China as he expects earnings growth in 2018 will remain solid - although growth rates will likely moderate due to a higher base. Kai-Kong says the following three investment themes will be key in 2018:
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
