Written by: WENJIE
Translated by: billwilliam
Proofread by: Ermat
As a recent article on the People’s Daily website (people.com) reported, the world-renowned investment management company Invesco surveyed 141 senior investors from 59 central banks and 82 sovereign wealth funds around the globe and found that sovereign wealth funds including Singapore’s Temasek and Norwegian pension funds continue to be bullish on Communist China’s market (even though in reality its economy is on the verge of collapse).
According to the article, in the current situation when global investment cools down, it is not easy for Communist China to win the favor of sovereign wealth funds, which demonstrates foreign investment’s confidence in the prospect of Communist China’s future development. The article lists several main reasons why sovereign wealth funds continue to increase their allocation to Communist China’s market: 1) Real investment return; 2) The strong potential of Communist China’s economic growth; 3) Communist China will continue to open up its market and optimize the business environment.
The article naively believes that foreign investment still has room for growth because foreign debt holding only accounts for a small fraction of the entire market.
Now when the Communist China’s economy is on the brink of collapse, especially since this year when on average two Chinese real estate companies including Evergrande are embattled in financial scandals every day, Invesco still issued a so-called “survey” that is bullish on Communist China’s market. What is its intention? The answer is clear by checking the composition of Invesco’s shareholders. It turns out that Vanguard Group is the largest shareholder of the investment management company Invesco. Shareholders of Invesco’s branch in Communist China include Chinese companies such as China Great Wall Securities and Shide Group. As Mr. Miles Guo revealed recently, Vanguard Group is actually the largest shareholder of major vaccine manufacturers and several CCP enterprises. It is not surprising why Invesco is bullish on Communist China at this moment, and the survey’s credibility is doubtful.