From CNBC:

China has set a GDP target of 5% despite concerns of insufficient policy support. Valuations of Chinese stocks are undervalued, says Shaun Rein. China saw inflation in February, but deflation still looms over the economy. Luxury brands may continue to struggle with lack of Chinese demand.

China’s economic struggles have led to stock market declines. Policymakers aim to boost inflation and growth. Reconfiguring the economy away from real estate and infrastructure reliance may bring positive long-term impacts. Investors should consider China for long-term growth potential, says Rein.

Although there’s a modest rebound, Hong Kong’s Hang Seng index remains 14% down. Rein has invested in undervalued Hong Kong-listed A-shares. It’s too early to call a bull market in China, but the economy is showing potential for growth in the long term.



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