UBS: Investors love contrast in China

Outlook of global wealth manager shows Chinese stocks among most preferred

With various uncertainties continuing to cloud the global economy, the clear path of China's economic recovery has provided investors with a key growth opportunity and upside potential in the country's stock markets, a global wealth management giant said on Wednesday.

UBS Global Wealth Management said in its mid-year Asia investment outlook that the Chinese market is one of its most preferred stock markets, as the MSCI China Index－covering about 85 percent of the China equity universe－is expected to grow by between 7 percent and 10 percent in the base-case scenario.

Hu Yifan, regional chief investment officer and head of macroeconomics for Asia-Pacific at UBS Global Wealth Management, said the index has started to outperform global peers, a trend that may continue in the second half.