CHINA'S stock market is not in a bubble, said asset manager BlackRock's head of China equities Helen Zhu at a press conference on Wednesday morning.
However, some parts of the market such as small and medium enterprises on the ChiNext tech board have valuations that are unsustainable, she said.
Stocks on ChiNext trade at 90 times or even three-digit earnings multiples, but the overall A-share market, as represented by the CSI 300 index, is still trading at less than 20 times earnings, she said.
"There's still a lot of blue chips trading at reasonable valuations against not only their own history but against international peers. That said, on a relative basis, the H-share market is a laggard, that's where the value is."