Woodford warns 'moth to flame' China investors

clock

Invesco Perpetual head of investment Neil Woodford is warning investors to not get overly carried away by the China growth story, believing the burgeoning country still faces "huge challenges".

Woodford, who runs upwards of £23bn at the Henley-based group, says investors are currently focused too much on China as a bullish, one-way opportunity and are ignoring the threats, both economic and political. "It is the land of opportunity as far as Western investors are concerned and I think there has been a huge focus on the growth rate. The world markets seem to be drawn like moths to a flame in terms of Chinese GDP growth numbers," he says. "All these things have assumed gigantic importance in the minds of investors, because there is this crowded train and they feel they have to...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Investors take group action against RL360 over collapsed funds

Investors take group action against RL360 over collapsed funds

Claim brought to Isle of Man to seek compensation for losses

Isabel Baxter
clock 27 March 2025 • 2 min read
Watch Professional Adviser's Working Lunch on Baillie Gifford's Scottish Mortgage trust - A World of Opportunities

Watch Professional Adviser's Working Lunch on Baillie Gifford's Scottish Mortgage trust - A World of Opportunities

Catch up on the discussion

Professional Adviser
clock 25 March 2025 • 1 min read
Other investing strategies are available: Performance chasing has served well despite risks

Other investing strategies are available: Performance chasing has served well despite risks

'Perhaps not surprisingly in such momentum-driven markets, performance chasing came out top'

Laith Khalaf
clock 24 March 2025 • 4 min read