China’s Plunging Market Has Become a High-Risk Bet on Xi Jinping
- Funds have to decide if Xi’s policies are palatable, Grow says
- Officials had pledged in March to make policy more transparent
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China’s lurch toward one-man rule has made it more important than ever for investors to align their portfolios with the priorities of President Xi Jinping. Some are deciding it’s not worth the trouble.
Chinese stocks tumbled by the most since 2008 in Hong Kong and the yuan hit a 14-year-low after Sunday’s confirmation that Xi’s policies of stronger state control over the economy and markets will continue unchallenged for years.