It may be early in the year, but it’s possible we already may be seeing a key theme in China loosening its zero-COVID policies. As one of the world’s economic pillars, the country will be aiming to reignite its stagnating economic growth, with investors poised to benefit when equipped with the right knowledge. Here are some notable observations to consider from WisdomTree that may merit attention to a China-reopening ETF like the WisdomTree China ex-State-Owned Enterprises Fund (CXSE).
Investors may have been concerned last year by the fall’s Communist Party Congress that saw President Xi Jinping solidify power, but despite those negative headlines, MSCI China still outperformed the S&P 500. Those returns fly in the face of exaggerated headlines that suggested that China had become “uninvestable” overnight – and underscore how a China exposure can help…