Exhibit #3455 is Chris Joye on the money:
On the subject of ESG, a similarly simple insight could have saved investors from exposure to the extreme ructions resulting from fears that large Chinese companies that issue vast quantities of debt into US dollar markets, like Evergrande and Huarong, will default on their repayments. And that is don’t provide funding to companies based in and/or owned by non-democratic states. While this seems extremely obvious, I have not seen others apply it (there must be some!). It is pretty hard to get comfortable with the rule of law, property rights, human rights, the absence of corruption, and freedom of private enterprise when you are dealing with autocracies…
Exhibit #3456 is returns are disastrous:
So investing in China is a good idea? Here’s an invaluable nugget from @jasonzweigwsj. Since 8/31/92, that’s 1992, almost 30 years where the Chinese economy often grew 10% or more, MSCI China index earned 2.2% per year. MSCI Emerging did 7.8%. S&P 500 10.7%. Cheap or fool’s game? pic.twitter.com/k2Gf02SyPR
— Christopher Bloomstran (@ChrisBloomstran) September 25, 2021
