Veteran China Fund Manager Bullish on Overlooked Consumer Stocks

(Bloomberg) — Some investors are missing out on attractive consumer-related shares in China because of pessimism about the economic recovery, said Tiffany Hsiao, a portfolio manager with two decades of experience covering the nation’s assets.

As the economic rebound shows signs of stalling just months after reopening from pandemic restrictions, stocks linked to retail spending have underperformed. Sub-gauges tracking shares of consumer discretionary and staples companies in the CSI 300 Index have both fallen more than 10% from highs early in the year, about double the drop in the benchmark. Hsiao says that presents buying opportunities.