Global Innovation Ranking 2016: China Continues To Move Higher

China is slowly becoming a leading country in innovation. Relative to its peer countries China is far ahead in innovation and R&D spending. While a few years ago the country was known as the “shopping floor for world’s manufacturing” that is no longer the case. Because of its one-party system and the absence of some social …

Continue reading ‘Global Innovation Ranking 2016: China Continues To Move Higher’ »

The Astonishing Growth of China’s Per capita GDP

China is one of the largest economies in the world with a GDP of over $18.0 Trillion in 2015 based on Purchasing Power Parity. The Per capita GDP is $14,100 and that puts the country at 113 in the world according to CIA’s World Factbook. The above stats do not however tell how far China has come …

Continue reading ‘The Astonishing Growth of China’s Per capita GDP’ »

China’s Stock Market Landscape: Infographic

The Chinese equity market is the second largest in the world in terms of market capitalization. Despite the size and breadth of the market, the index provider MSCI recently decided to not add China’s domestic stocks (“A” stocks) to the MSCI Emerging Markets Index. From a recent journal article: “International institutional investors clearly indicated that …

Continue reading ‘China’s Stock Market Landscape: Infographic’ »

China’s Roller Coaster Stock Market Returns

The Chinese equity market is characterized by booms and busts. Since 1996, the upward and downward movements in the market has been violent. For example, during the Global Financial Crisis of 2008-09 the MSCI China Index lost 65% of its value. From 2004 thru the peak in 2008, the index soared by an astonishing 757%. …

Continue reading ‘China’s Roller Coaster Stock Market Returns’ »

On The Relationship Between Chinese Economic Growth And Stock Market Returns

A country’s economic growth as measured by GDP and stock market returns are not positively related to each other. Economic growth figures show what happened with the economy during a period and is a lagging indicator. On the other hand, stock returns are driven by a variety of factors including expectations of future earnings of …

Continue reading ‘On The Relationship Between Chinese Economic Growth And Stock Market Returns’ »