China in Transition

China's Grand Opening

With inclusion in MSCI equity benchmarks and the opening of “Bond Connect” for foreign investors in onshore debt, China has taken two more steps along what Goldman Sachs Research’s Tim Moe considers a “clear, inexorable” path to wider integration into global portfolios. “We think China is going from what you might call a ‘nice-to-have’ market to a ‘have-to-have’ market, and this has significant implications,” Moe says. He explains potential benefits for both China and international investors, as well as strategic decisions ahead for global portfolio managers navigating this investment opportunity.