Mainland China, Hong Kong, Japan and India are poised to attract capital inflows from international investors seeking to diversify their portfolios with non-US-dollar assets while pursuing growth opportunities in the coming years, according to top Wall Street bankers.
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“China is one of the largest [and] most important economies in the world,” said David Solomon, chairman and CEO of Goldman Sachs, during a panel discussion at the Global Financial Leaders’ Investment Summit in Hong Kong on Tuesday. “Global capital allocators will continue to be interested in China in almost any environment.”
Solomon is among 300 leading financiers attending the three-day summit, which began on Monday. The event is the fourth edition of the annual flagship gathering organised by the Hong Kong Monetary Authority.
Speaking on a panel titled “Markets: Trends, Opportunities and Risks”, Solomon provided an optimistic outlook for Hong Kong and mainland Chinese stocks.
He said about 80 per cent of international investors had shifted to Chinese equities since last year, accounting for half of the US$6 trillion lost due to stock disposals between 2020 and 2022, a period marked by a slump in the country’s property market and the impact of the Covid-19 pandemic.
Hong Kong’s benchmark Hang Seng Index has risen 35 per cent this year, making it one of the world’s best-performing major indices.