Foreign financial institutions increasingly upbeat on China's capital market
发布日期：2025-06-10 09:20:09 点击量：39次
Multiple foreign institutions are becoming increasingly bullish on China's capital market despite external challenges, as the world's second-largest economy shows strong resilience thanks to a series of policies aimed at spurring growth momentum and injecting valuable stability and certainty into the world economy.
"We see improved investor sentiment toward China through higher willingness to allocate and higher conviction in Tech/New Consumption," Laura Wang, chief China equity strategist at Morgan Stanley, wrote in a note sent to the Global Times on Monday.
The fear of missing out on China's technological development has once again emerged, Wang noted. "Most global investors with whom we have spoken have explicitly expressed interest in adding back some exposure to China. Investors acknowledge that collectively, exposure to China is still at a very low level," she noted.
Asian markets maintain structural growth momentum in the long term, and will continue to attract capital inflows thanks to stable structural growth and diversified local opportunities, Kuang Zheng, chief investment officer for HSBC Global Private Banking and Wealth in China, wrote in a third-quarter investment outlook that was sent to the Global Times, highlighting optimism about markets with economic resilience, including China.
"China and Asia's professional manufacturing sectors boast concentrated technical capabilities that are not easily replaceable. China's economic resilience and structural growth opportunities remain significant," Kuang noted.
Showing confidence in China's economic development outlook, Deutsche Bank analysts recently raised China's GDP forecast by 0.2 percentage points to 4.7 percent for the full year of 2025.
China's moderately loose monetary policy and fiscal policy are expected to continue, while the country's services sector output and retail also show resilience. "Along with the easing of China-US economic and trade relations, we have upgraded China's full-year GDP forecast, projecting that China's trade competitiveness is anticipated to support the yuan in the long run," Xiong Yi, chief China economist at Deutsche Bank, was quoted as saying in a note published on the company's WeChat account on Friday.
China's total merchandise trade in yuan-denominated terms rose to 17.94 trillion yuan ($2.5 trillion) in the first five months of 2025, up 2.5 percent year-on-year, data from the General Administration of Customs showed on Monday, underscoring the resilience of China's foreign trade despite challenges from the external environment.
"Since the meeting of the Political Bureau of the Communist Party of China Central Committee on April 25, Chinese government agencies have been accelerating the rollout of a series of support policies," Yang Delong, chief economist at Shenzhen-based First Seafront Fund, told the Global Times on Monday.
More policies aimed at stabilizing growth and enhancing economic vitality are expected to be rolled out, injecting further momentum to the economy while bringing valuable stability and certainty to the world economy, Yang said, adding that China's continuous opening-up of the capital market creates better opportunities for global institutions to invest in Chinese assets.
Holders of foreign capital are important participants in and builders of China's capital market, and the China Securities Regulatory Commission (CSRC) will follow a market-oriented, law-based and international direction and deepen the reform and opening-up of the capital market with more practical measures, Li Ming, vice chairperson of the CSRC, said at the 2025 Global Investor Conference held by the Shenzhen Stock Exchange in May.
"Along with China's high-quality economic development and the further unleashing of the vitality of reform and opening-up, China's capital market will become an important platform for more foreign capital to invest and thrive, providing greater opportunities for global investors to share in the dividends of China's development," Li said, according to a CSRC statement.
