The Chinese government’s initiatives to boost the economy and support the stock market appear to be paying off — for both the Chinese economy and China investors. In particular, the market for dividend stocks is taking off.
Capital returns for the China universe, both onshore and offshore, were RMB3 trillion (US$450 billion), most of which was dividends. In the onshore China markets, RMB2.4 trillion came in the form of dividends, while in the offshore markets, it was 50/50 buybacks/ dividends.
In an interview with Hedge Fund Alpha, Luo Jing, investment director of equities at Value Partners Group, explained why the opportunities in...