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China money managers rush to create funds tracking new A50 index
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China money managers rush to create funds tracking A50 index
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SHANGHAI A collapse in China’s blue-chip share prices has raised the ire of investors, angry at the way asset managers have crowded into a handful of large stocks and increased market volatility.
Liquor giant Kweichow Moutai, Asia’s fourth-biggest stock and a perennial market darling, has become the poster child of the recent selloff as its steep losses hurt mutual funds heavily invested in its shares.
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Its shares have shed a quarter of their value since a Feb. 18 peak as concerns over Beijing’s monetary tightening triggered a sharp sell-off in larger stocks. More than 900 stock funds lost at least 20% in net assets over the past month, according to fund distributor eastmoney.com.
By Reuters Staff
5 Min Read
SHANGHAI (Reuters) - A collapse in China’s blue-chip share prices has raised the ire of investors, angry at the way asset managers have crowded into a handful of large stocks and increased market volatility.
FILE PHOTO: Men wearing face masks are seen inside the Shanghai Stock Exchange building, as the country is hit by a novel coronavirus outbreak, at the Pudong financial district in Shanghai, China February 28, 2020. REUTERS/Aly Song
Liquor giant Kweichow Moutai, Asia’s fourth-biggest stock and a perennial market darling, has become the poster child of the recent selloff as its steep losses hurt mutual funds heavily invested in its shares.
Analysis: Moutai hangover highlights risks in China s crowded stock bets
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