China is going ahead with60 new infrastructure projects worth $150 billion dollars in order to boost China’s economy. China’s economic data is due out later this week and there are concerns that their economy will be decreasing for the 7th straight quarter. However, China is being pro active in order to jump start its economy. There is pressure for Beijing to increase its efforts and one item is to cut interest rates as inflation is set to increase based on global grain prices.
Although China’s economy has been slowing this is a great opportunity to purchase equities as their evaluations are low. Once global economies recover from the recent slowdown investors will profit from placing their bets on China today. Excel’s Sub advisor from Baring International Investment Limited just won the 2012 Lipper award for the best fund over the last 3 years for their China equity fund. By investing in the Excel China fund it helps clients diversify their portfolios and have access to one of the best fund managers in China.
Written by Jeff K.
Reuters. (2012, September 7). China approves $157 billion U.S. in infrastructure spending. The Star. Retrieved September 10, 2012, from http://www.thestar.com/business/article/1253013–china-approves-157-billion-u-s-in-infrastructure-spending