GS - Goldman Sachs Investment Expert Warns Against Investing In China: 'It Is Not Clear What The Overall General Direction Of Policy Will Be Long Term' | Benzinga
Sharmin Mossavar-Rahmani, the Chief Investment Officer (CIO) of Goldman Sachs Group wealth management, has cautioned against investing in China, citing unclear policy and economic data.
What Happened: Mossavar-Rahmani, in an interview with Bloomberg Television, advised clients against investing in China, despite the country’s current low valuation. She highlighted several reasons for her stance, including an anticipated prolonged economic slowdown and uncertainties surrounding China’s policy-making and economic data.
She stated, “It is not clear what the overall general direction of policy will be long term. Policy uncertainties generally put a little bit of a cap on the equity market.”
China’s benchmark CSI 300 Index recently hit a five-year low amid concerns about domestic demand and geopolitical tensions. Although the index has since rebounded after the regulatory intervention, Mossavar-Rahmani believes that the Chinese real estate sector has yet to reach its lowest point.
She also expressed doubts about China’s official economic growth figures, echoing concerns raised by several economists. Despite the ...