Over the last 12 months, Chinese equity prices have tumbled by more than 20%. This was the largest annual loss since 2001, apart from the losses registered during the 2008 financial-market crisis. The reasons appear obvious: developments in the real-estate market, the shadow banking system and local government debt. While these factors are likely to remain in place in 2012, current Chinese equity prices seem to have priced them in to a large extent.
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Product update: Allianz RCM China

January 2012
Allianz RCM China Class A USD (“the Fund”) outperformed its benchmark, the Morgan Stanley Capital International (MSCI) China Total Return (Net) index (the benchmark) by 1.46% for the past three months (October to December 2011) and was ranked 8th out of 57 peer funds during the same period.
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China’s monetary policy gets more expansionary

Stefan Scheurer: 21 December 2011

The persistent EU government debt crisis and fears of a global recession do not only shape current developments on the international capital markets, but also appear to affect the Chinese economy. Not only Chinese observers are concerned that the country’s economy might slow down more strongly than expected (for example due to a dip in exports and in the local real-estate market) or even drop into a recession (“hard landing”)...
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China in the fast lane to overtake the US

Guido Steil: 24 November 2011
This week we saw Jim O’Neill put his neck on the line and predict that China could overtake the US as the world’s leading economy by 2027. I agree with this forecast and would even suggest China could become the world’s largest economy even sooner...
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Product update: Allianz RCM China

November 2011
Allianz RCM China Class A Distribution (USD) (“the Fund”) outperformed its benchmark, the Morgan Stanley Capital International (MSCI) China Total Return (Net), by 0.65% in October 2011. During the month, the Fund ranked 15th position among 58 peer funds (1). The outperformance was due to stock selections of a leading integrated information technology (IT) service provider in China, a provider of wireless solutions and a leading integrated oilfield services provider in the offshore China market.
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8 reasons why China looks set for a soft landing

Stefan Scheurer: 18 November 2011
A sharp correction on the Chinese real estate market; increasing indebtedness of local governments; a larger ratio of non-performing loans on the balance sheets of Chinese banks; or a collapse of the shadow banking system. Any one of these factors, which make up an essential part of the basic conversation about China, could result in a decline in economic growth. But are concerns as to whether the Chinese economy could face a so-called "hard landing" justified?
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