This article was first published by Truewealth Publishing.
China gets a lot of investor blame. But it shouldn’t.
In recent years, China has been a convenient go-to excuse when markets are bad. For example, China’s banking sector is in trouble; debt levels in China are too high; China’s real estate bubble is going to pop… and China’s rate of economic growth is unsustainable and slowing (and/or the data showing growth is fake): These storylines have put food on the table for financial journalists for years.
There is a lot of truth in some of this. For example, it’s a statistical inevitability that China’s economic growth is slowing. Something that’s already very big, whether it’s an economy or a company, can’t continue to grow at a rapid pace forever. And over the past 15 years, China has become the world’s second-biggest economy…