In China, growth is not enough

Nicholas Yeo, director and head of China/Hong Kong equities, Aberdeen Asset Management, in conversation with Jon Ihle.

13th October, 2012
In China, growth is not enough
Nicholas Yeo, director and head of China/Hong Kong equities, Aberdeen Asset Management.

With growth stalled in most developed economies, investors have turned increasingly to China to find returns. But what is true for the Chinese economy is not necessarily true for Chinese companies, according to Aberdeen's Nicholas Yeo.

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Although GDP is growing by 7 per cent, companies may already have a recession in earnings. This is partly to do with overcapacity in certain sectors, especially commoditised sectors. Some of the companies have already reported 50 per cent...

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