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ruchin_k | 4 years ago

Although not uninvestable the risk appetite needed to invest in China has now readjusted to a higher threshold. How this will play out out with large investors (private equity, hedge funds etc) is that they will assume a higher "discount rate" in their financial models. Essentially a Chinese investment will need to meet a much higher expected return threshold (IRR - internal rate of return) than previously required.

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