An open China will benefit investors at home and abroad: UBS

London: Clients of UBS Wealth Management, a division of Swiss multinational financial services company UBS AG, are looking to invest more in China, despite ongoing global economic uncertainty, head of the UK Investment Office at UBS Wealth Management has said.
Geoffrey Yu told Xinhua in a recent exclusive interview that such enthusiasm stems from the belief that the Chinese economy will be able to maintain general stability, adding an ongoing commitment to economic reform and opening-up, and a strong determination and attachment to technological innovation serve as other supportive factors.
As "stability" became the keyword at the annual Central Economic Work Conference held in Beijing last week, Yu noted that the realisation of China's objectives for next year can help reduce uncertainty for the world economy.
He added that over the medium term, the country looks set to continue on its trajectory towards the intended medium-term goal of becoming a moderately prosperous society.
"As long as the growth rate is within a reasonable range, coupled with a steady labour market, some volatility in growth can be tolerated," he said.
Looking ahead, new industries arising from economic rebalancing and restructuring, such as advanced manufacturing clusters, the digital economy, eldercare and childcare, are just some of the thematic opportunities for investors, Yu noted.
"Many clients have also expressed interest and invested in China's healthcare industry," he added.
Yu said that China has been lowering import tariffs, and further rounds of reduction of tariffs and non-tariff barriers are expected. The enactment and enforcement of the new Foreign Investment Law, which puts more emphasis on the protection of intellectual property rights, are very important to attract more foreign investments, he added.
China has accelerated its opening-up for the financial services industry, and in 2018, UBS AG became the first foreign bank in China to gain majority control of a securities joint venture in China.
"We are anticipating further reforms and market opening along these lines, which will not only benefit foreign investors but also Chinese enterprises and households," he said.