Bank of China, one of China's four largest commercial banks, recently unveiled a wealth management report for retail investors, recommending the 5G, new energy, banking, coal, media, electricity, utility and retail sectors.
Despite the slowing down in China's economy, the report said that China's growth rate would still at least double that of developed countries. Economic growth is the foundation of company profitability. In the long-term, a company's stock price follows the trend of economic growth.
China's securities watchdog has set up rules to crack down on market manipulation and rolled out the science and technology innovation board, which offers investors a healthy stock trading environment.
The report said that the Chinese bond market would see growing opportunities while the stock market would barely produce substantial yields due to the slowing down of the global economy in the future. The dollar will be strengthened before heading downward. And the RMB would be under pressure of depreciation but with no signs of a sharp slump. On the other hand, Bank of China is optimistic about investment in the Australian dollar.
Crude oil price would depend on supplies and gold prices would be propped up by multi favorable factors, it said.
The report suggests retail investors hold more RMB-denominated assets including stocks and bonds as well as British pound and Japanese yen denominated-stocks while reduce shares denominated in US dollars. Also, gold is a good choice.
Despite the slowing down in China's economy, the report said that China's growth rate would still at least double that of developed countries. Economic growth is the foundation of company profitability. In the long-term, a company's stock price follows the trend of economic growth.
China's securities watchdog has set up rules to crack down on market manipulation and rolled out the science and technology innovation board, which offers investors a healthy stock trading environment.
The report said that the Chinese bond market would see growing opportunities while the stock market would barely produce substantial yields due to the slowing down of the global economy in the future. The dollar will be strengthened before heading downward. And the RMB would be under pressure of depreciation but with no signs of a sharp slump. On the other hand, Bank of China is optimistic about investment in the Australian dollar.
Crude oil price would depend on supplies and gold prices would be propped up by multi favorable factors, it said.
The report suggests retail investors hold more RMB-denominated assets including stocks and bonds as well as British pound and Japanese yen denominated-stocks while reduce shares denominated in US dollars. Also, gold is a good choice.
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