Mitsui Credit Global: Patient
investors have been encouraged by a slew of data promising exciting times for
the Asian giant
It really should come as no surprise that we here at Mitsui Credit Global are quite enamored
with China’s future economic prospects but for the last couple of years, we’ve
been one of a few lone voices in the wilderness extoling the virtues of the
central planners in Beijing and their aptitude for precision-guiding this
colossus of 1.3 billion people to its current position as the world’s second
largest economy.
There’s no doubt that certain aspects of the Chinese economy have tailed off as
the euphoria-inducing effects of the $586 billion post-Lehman stimulus package
have worn off but the real estate boom that continues apace in certain cities
shows few signs of being derailed and consumer spending – part of the ruling
communist party’s effort to rebalance their economy to reflect greater reliance
upon domestic consumption – remains robust.
In September, retail sales jumped 13.2% while real urban disposable income rose
just shy of 10%; its counterpart, rural disposal income, surged more than 12%
in the first 9 months of the year.
Commodity imports remain buoyant with an 11% jump in imports of copper into
China and a marked rebound in oil imports.
Stocks in China are historically cheap and even more so when measured against
the inflated values of shares on global exchanges. Mitsui Credit Global
research shows that Chinese shares have a forward P/E ratio under 9 times –
compare that with averages on global exchanges of 12-13 times and it’s easy to
see why now is a good time to take positions on Chinese stocks.
About Mitsui Credit
Global:
Providing value to their customers is their
single core value. They make strategic investments they know they can build
with their deep industry knowledge, with the goal of later selling at profit.
Using their industry leading One Mitsui Credit Global network platform,
combined with their Operational Excellence team and strong analytical and data
driven knowledge, they create and manage custom plans for each of their private
equity and real estate investments. Our strong successes enable our investors
to reach their goals, such as pension funds enabling the secure retirements of
millions of
public employees.
Contact Mitsui Credit Global:
16F / Yodoyabashi Mitsui Building
4-1-1 Imabashi, Chuo-ku, Osaka-shi,
Osaka, 541-0042
http://www.mitsuicredit.com
pr@mitsuicredit.com
81662534321
