Europe and the United States serve as the primary investment outlets for Chinese investors. (Photo : Reuters)
The attendees of the 2015 edition of the Summer Davos forum agreed that it is high time for Chinese investors to deploy their assets globally, citing the rapid rise of the country's middle and upper classes, income spike and higher saving rates.
For Citic Capital chair Zhang Yichen, "many overseas assets do not seem expensive to people from China in terms of valuation."
Zhang added that some even believe these assets are cheap.
Europe and the United States serve as the primary investment outlets for Chinese investors, according to a China Business News report.
People with high net worth were also advised to invest in realty abroad, Megan Walters, research chief for Asia-Pacific capital market JLL, said. She cited that this could help investors collect rental fees that have substantially risen for the past years.
Walters cited London, San Francisco, New York, Chicago and Boston as some of the areas lucrative to the said investment.
Guotai Junan Securities chief economist Lin Caiyi said that one of the major factors to be considered by overseas investors is the selection of a country.
Lin stated that investors must take into account a nation's economic growth and exchange rates.
In the U.S., particularly, which is virtually regarded as the sole country with steady economic performance, investors should look into the interest-rate hike by the U.S. Federal Reserve by the end of the year.
Individuals are counselled to invest in U.S.'s realty estate investment trusts as it regularly posts steady yields.
Meanwhile, KPMG China chair Tao Kuangchun mentioned that a major challenge for Chinese enterprises wanting to make a foray into foreign markets is the need to adjust with varying laws.
