July 20, 2021
China has been a no-brainer for any diverse portfolio and quite frankly continues to be one: a combination of strong economic growth, a flourishing middle class, and a tech sector that benefits from both government investment and looming U.S. tensions. However, owning individual stocks is becoming increasingly risky. Many institutional investors are pulling out of individual investments, causing liquidity concerns. Additionally, compliance with the Holding Foreign Companies Accountable Act is hanging over many investments. Their government prevents companies from having to comply with these auditing measures, but things are changing here. Regardless of how the Public Company Accounting Oversight Board rules, pull-outs are already happening, sinking many Chinese stocks. Investors can look at China Mobile as a precedent for how this delisting process could play out.
FINSUM + Magnifi: The sinking individual stocks are the perfect time to buy low into China in the form of diverse funds that still maintain exposure.
Other news today: Summer Bond Market Flummoxes Investors and A Huge Influx of Cash About to Hit ESG
Magnifi is changing the way we shop for investments, with the world’s first semantic search engine for finance that helps users discover, compare and buy investment products such as ETFs, mutual funds and stocks. As of July 2021, 450,000+ users with $541+ billion in Assets Under Influence, have used Magnifi over 8,800,000 times. Try it for yourself today.
This blog is sponsored by Magnifi. The information and data are as of the publish date unless otherwise noted and subject to change. This material is provided for informational purposes only and should not be construed as individualized investment advice or an offer or solicitation to buy or sell securities tailored to your needs. This information covers investment and market activity, industry or sector trends, or other broad-based economic or market conditions and should not be construed as investment research or advice. Investors are urged to consult with their financial advisors before buying or selling any securities. Although certain information has been obtained from sources believed to be reliable, we do not guarantee its accuracy, completeness or fairness. Past performance is no guarantee of future results. This content may not be reproduced or distributed to any person in whole or in part without the prior written consent of Magnifi. [As a technology company, Magnifi provides access to tools and will be compensated for providing such access. Magnifi does not provide brokerage or custody services.]