Star investor turns his back on China – permanently

Last Updated: 19. Februar 2024By

In my last post, I told you about how the Chinese government is currently trying to stop the free fall of the stock market with a billion-dollar aid package.

I also mentioned that this measure can only bring temporary stabilization, but not a sustainable turnaround. This is because it only addresses the symptoms, not the root cause of the crisis.

China can only attract new capital if the framework conditions improve fundamentally. However, for years, the exact opposite has been the case. This is now also recognized by many major investors. For example, this one:

Star investor turns his back on China – permanently The well-known US hedge fund manager Stanley Druckenmiller was once known for his unwavering belief in China’s growth. But in mid-2023, he said goodbye to China as an investment target. He is now convinced that with Xi Jinping’s political course, China can write off its ambitious goals of catching up with the US economically.

At a Bloomberg Invest conference, the star investor said, „When I look ten or fifteen years into the future, I just don’t see it. If there is no change of power at the top, I think the economy will be very stagnant.“ And further: „… in the long term, I do not see them [the Chinese, Ed. note] as a major challenge to the US in terms of economic power and growth.“

Druckenmiller’s fund is not an isolated case. Large international funds are withdrawing their capital from China. The prices have been collapsing since the end of 2021. Important upward trends have been broken. It is high time for you to sell any remaining investments in China.

Say goodbye to China as an investment – now! Therefore, my advice to you is to sell all Chinese stocks and German stocks with a high percentage of sales in China. Instead, invest with us in the US.

Why is this the better choice? Just take a look at the chart below. I compare the S&P 500 (symbol SPX) with the Shanghai index (SSEC) and the DAX. The winner is clear:

Performance comparison between S&P 500, Shanghai index and DAX in the last 5 years: The US stock market is far ahead! Source:

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