Brave investors could reap double-digit returns from China equities, says Value Partners chief

CAPITAL preservation is key in today’s markets, but investors with greater risk appetites could start nibbling on China equities, which are in for a substantial upward re-rating, Value Partners Group co-chairman Cheah Cheng Hye has said.

He expects China to ease its zero-Covid policy within weeks, after the 20th National Congress of the Chinese Communist Party on Oct 16, when Xi Jinping is expected to secure his third five-year term.

“Most people think China would relax Covid restrictions next year, but I think they will start to relax from late October or early November. This is a minority view,” he said. Hong Kong recently ended its quarantine policy, raising hopes that Beijing would do the same.