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Animal Spirits Podcast

Talk Your Book: Finding a Bottom in China

Mar 25, 2024
The podcast discusses an economic update on China, the buyer of last resort, what happened in Chinese real estate, the recent drawdown in Chinese internet companies, exploring the impact of interest rates on option pricing, strategies and outcomes in KWeb investments, insights into China's real estate market, and engagement with advisors and institutions in the China market.
38:13

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Quick takeaways

  • China's economic strategy focuses on targeted fiscal policies to boost growth without resorting to broad stimulus measures.
  • Although Chinese internet stocks have seen significant declines, their fundamentals remain strong, presenting a potential investment opportunity for those willing to look past negative sentiment.

Deep dives

Emerging Market Sentiment towards China

Recent discussions reflect shifting sentiments towards China in emerging markets. Previously viewed as a growth opportunity due to its large internet companies, China has experienced significant drawdowns of 70 to 80%. Despite concerns, the sheer size of China's economy and consumer base presents an irresistible opportunity for some investors.

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