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The Investor's Guide to China

The Investor's Guide to China: Shareholder return (#29)

Apr 24, 2024
Investment Director Catherine Yeung and other experts discuss China's shift towards prioritizing shareholder returns, including dividends and buybacks. They explore changes in management mindset, industries ramping up payouts, and the role of regulators and investors in the process.
30:59

Episode guests

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Quick takeaways

  • Chinese companies are increasingly focusing on long-lasting shareholder returns through dividends and buybacks, driven by regulatory measures and changing management mindsets.
  • Both state-owned and private enterprises in China are adapting their strategies to prioritize increased dividend payouts, reflecting a shift towards sustainable shareholder returns in the market.

Deep dives

Shift Towards Shareholder Returns in China's Economy

The focus in China's economy is shifting from rapid growth to quality, with more emphasis on long-lasting shareholder returns like dividends and buybacks. This change is driven by regulators and companies across different sectors, even in the so-called old economy segments. Chinese industries are adapting to ramp up payouts for investors, influenced by government policies that encourage sustainable shareholder returns.

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