HKI

South Korea May Be Affecting China

I don't quite follow your argument. The rapid deterioration of some emerging market currencies are focused particularly on the ones with a current account deficit or with large borrowings in US$. China is in the reverse situation. So how would China suffer similarly?

China: Real Estate Loan Growth May Be Slowing

The Real Estate sector has certainly been hurting and prices have declined sharply especially in cities like SZ. But despite this, I am not sure if the banks are going to have large credit problems. Let's not forget, while growth is slowing down, growth continues to be strong both in terms of GDP and consumer demand. Banks today are all making 3%+ in net interest margin and that will pay for a lot of loan losses even if this becomes true. I would not under-estimate the capacity of banks to absorb credit losses given the interest rate regulations.

BTW, most chinese bank loans are 1 year (except for project finance type loans) and they are simply rolled over every year. So a duration analysis on loans probably won't be very helpful in China.

Are there any particular B shares that you like?