These are the thoughts expressed by fund manager David Fingold in a Financial Post article last week. Fingold manages the Dynamic Global Discovery Fund, a value-style global fund with 1 year, 3 year, and 5 year returns all in the top quartile amongst its peers (article contains detailed return figures).
David currently has no direct exposure to China. In the short-term, he is concerned over Chinese exports to Europe since the Euro has recently dropped against the Chinese Renminbi. 22% of Chinese exports go to Europe. However, he does points out that that the CPI in China has fallen recently. Lower inflation would put the Chinese government in a position to stimulate the economy down the road.
In the long-term, he believes that many people will be surprised by where the growth is. He points to the stronger demographics in the U.S compared to China as a good reason to stay invested in the U.S.
For the full article, click here.