BlackRock: China Will Continue to Be a Growth Engine

The video discusses the economic growth prospects of China and the US, highlighting the potential for investment in both regions due to their significant growth drivers. It also addresses the impact of COVID-19 on emerging markets, emphasizing the need for progress in healthcare and the preference for resilient economies, particularly in Asia, such as China, Korea, and Taiwan.

What is the main reason for downgrading Asia, excluding Japan, to neutral on the equity side?

• COVID-19 impact

• Chinese exceptionalism

• US economic growth

• Geopolitical tensions

How does the potential bifurcation between the US and China affect portfolio diversification?

• It makes diversification more complex

• It has no impact on diversification

• It increases diversification benefits

• It decreases diversification benefits

Why is there a tactical underweight on emerging market equities?

• Due to geopolitical tensions

• Owing to high inflation rates

• Due to currency fluctuations

• Because of the virus impact

Which economies are preferred within emerging markets due to their resilience?

• Latin American economies

• European economies

• African economies

• Asian economies

What is the reason for remaining neutral on fixed income local currency EM debt?

• High inflation rates

• Attractive coupon rates

• Currency stability

• Political stability