With China being the world's second-largest economy and a major trading partner for many countries, re-opening after COVID will significantly impact global markets and the economy. As the country gradually emerges from lockdown and resumes economic activity, what does this mean for businesses, investors, and consumers worldwide? In this episode, Rusty talks with Brendan Ahern, Chief Investment Officer at KraneShares. In his role, Brendan leads the firm's research and education efforts. He actively works with investors on various subjects ranging from asset allocation to trading to articulating the growing influence that index providers hold in the asset management industry. Brendan is considered an expert in global financial markets with a particular focus on China. He is a frequent visitor to China and actively maintains daily contact with a deep local research network comprised of investment banks, brokers, and regional and boutique research firms. A leading expert on the Chinese economy and markets, Brendan talks with Rusty about some of the potential scenarios and risks regarding one of the biggest factors on the global economy and markets this year, and that is the re-opening of the Chinese economy after COVID. Brendan also speaks about the current relationship between the U.S. and China, deglobalization, and the expected growth and valuation of China's re-opening. Key Takeaways [01:46] - An overview of Brendan's wealth management career. [04:28] - How Brendan defines risk. [07:05] - The impact of China's re-opening on the global economy. [09:27] - The current relationship between the U.S. and China. [12:14] - Brendan's perspective on real estate investing in China. [15:18] - What Brendan has to say about deglobalization. [20:51] - The impact of China's invasion of Taiwan. [23:59] - How Brendan sees returns and risks in the next 12 months. [27:24] - The expected growth and valuation of China's re-opening. [33:11] - What percentage of emerging market assets is held by China. [37:21] - KraneShares' top investment ideas for 2023. [44:01] - Why U.S. equities are a global phenomenon. [46:38] - Other risks investors should think about. Quotes [08:23] - "The China consumption story is the story in 2023. Great U.S. multinationals and many Chinese companies will directly benefit e-commerce companies, and people will benefit from that." ~ Brendan Ahern [11:24] - "The U.S. and China economies are highly intertwined. It's the largest trade relationship globally. It's the first time in five years, a top U.S. government official was going to visit China." ~ Brendan Ahern [27:36] - "The consumer coming back will not be an overnight thing. It will happen slowly, and consumer confidence will grow over the course of this year." ~ Brendan Ahern Links Brendan Ahern on LinkedIn Brendan Ahern on Twitter KraneShares China Last Night Summer Wind by Frank Sinatra iShares BlackRock Jonathan Krane Thunderbird School of Global Management Evergrande Group Connect with our hosts Rusty Vanneman Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts Disclosure Access to the services presented is provided solely as a service to financial advisors. Orion Risk Intelligence does not make recommendations or determine the suitability of any security or strategy. Past performance of a security or strategy does not guarantee future results. Orion Risk Intelligence research and tools are provided for informational purposes only. While the information is deemed reliable, Orion Risk Intelligence does not guarantee its accuracy, completeness, or suitability for any purpose, and makes no warranties with respect to the results to be obtained from its use. 0498-OAT-2/16/2023
With China being the world's second-largest economy and a major trading partner for many countries, re-opening after COVID will significantly impact global markets and the economy. As the country gradually emerges from lockdown and resumes economic activity, what does this mean for businesses, investors, and consumers worldwide?
In this episode, Rusty talks with Brendan Ahern, Chief Investment Officer at KraneShares. In his role, Brendan leads the firm's research and education efforts. He actively works with investors on various subjects ranging from asset allocation to trading to articulating the growing influence that index providers hold in the asset management industry. Brendan is considered an expert in global financial markets with a particular focus on China. He is a frequent visitor to China and actively maintains daily contact with a deep local research network comprised of investment banks, brokers, and regional and boutique research firms.
A leading expert on the Chinese economy and markets, Brendan talks with Rusty about some of the potential scenarios and risks regarding one of the biggest factors on the global economy and markets this year, and that is the re-opening of the Chinese economy after COVID. Brendan also speaks about the current relationship between the U.S. and China, deglobalization, and the expected growth and valuation of China's re-opening.
Key Takeaways
Quotes
[08:23] - "The China consumption story is the story in 2023. Great U.S. multinationals and many Chinese companies will directly benefit e-commerce companies, and people will benefit from that." ~ Brendan Ahern
[11:24] - "The U.S. and China economies are highly intertwined. It's the largest trade relationship globally. It's the first time in five years, a top U.S. government official was going to visit China." ~ Brendan Ahern
[27:36] - "The consumer coming back will not be an overnight thing. It will happen slowly, and consumer confidence will grow over the course of this year." ~ Brendan Ahern
Links
Connect with our hosts
Subscribe and stay in touch
Disclosure
Access to the services presented is provided solely as a service to financial advisors. Orion Risk Intelligence does not make recommendations or determine the suitability of any security or strategy. Past performance of a security or strategy does not guarantee future results. Orion Risk Intelligence research and tools are provided for informational purposes only. While the information is deemed reliable, Orion Risk Intelligence does not guarantee its accuracy, completeness, or suitability for any purpose, and makes no warranties with respect to the results to be obtained from its use.
0498-OAT-2/16/2023