China investors turn to renewables, chips, to avoid regulators’ attention
HONG KONG (Reuters) – Investors in China are turning to semiconductors, renewable energy and consumer-focused firms in the belief they offer safe-harbour from a blizzard of regulatory action that has battered confidence and forced funds to overhaul their portfolios.
Money managers view months of crackdowns that have hammered shares in sectors from tutoring to big tech as part of a major push from China’s Communist Party leadership to pursue common prosperity at the expense of private-sector profit.
Yet as selling has wiped billions from the value of companies in the crosshairs, such as online giants Tencent and Alibaba, share prices of firms seen on the right side of reform have surged.
