MONEY & MARKETS
The firm behind one of the top China analysts in the world is warning of a ticking time bomb
Aug 9, 2017, 1:25 PM
JOHANNES EISELE / AFP / Getty Images
Autonomous Research, the research firm focused on the financial sector, is warning of a ticking time bomb in China’s shadow financial system.
In a new video, the firm, which employs Charlene Chu, dubbed the “rock star” of Chinese debt analysis, said that China’s lenders piled up debt and repackaged much of it in the form of Wealth Management Products (WMP’s) and Asset Management Plans (AMP’s).
By the end of 2016, WMP’s and AMP’s together amounted to 51% of China’s GDP, according to Autonomous Research.
“WMPs and Chinese banks more generally have become so large and complex that any major problems could be just as destabilizing to the global economy as what occurred in 2008,” the video said.
China has shown signs that it is aware of the risks that shadow banking presents. In a recent interview with Bloomberg, Chu stated that Beijing has shown a “surprisingly high appetite for pain” as it tries to curb some of the more egregious shadow banking practices.
Here’s the video explaining shadow banking in China:
READ MORE: https://www.businessinsider.com.au/chinas-shadow-banking-system-is-a-ticking-time-bomb-2017-8?r=US&IR=T#/#chinas-shadow-finance-system-is-often-likened-to-a-black-hole-one-that-involves-a-confusing-hodgepodge-of-acronyms-and-becomes-more-complex-and-opaque-each-year-1
Chân thành cám ơn Quý Anh Chị ghé thăm "conbenho Nguyễn Hoài Trang Blog"
Xin được lắng nghe ý kiến chia sẻ của Quý Anh Chị trực tiếp tại Diễn Đàn Paltalk: 1Latdo Tapdoan Vietgian CSVN Phanquoc Bannuoc .
Kính chúc Sức Khỏe Quý Anh Chị .
Tiểu Muội quantu
Nguyễn Hoài Trang
Cộng sản Việt Nam là TỘI ÁC
Bao che, dung dưỡng TỘI ÁC là đồng lõa với TỘI ÁC