Euromoney (July 9)
“The new Chinese government’s policy drive to deleverage the banking sector has become more apparent, and that deleveraging will continue to unfold in the next six to 12 months. In what Morgan Stanley calls its ‘super-bear scenario’, it estimates that aggressive policy tightening will reduce Chinese GDP growth to an annual rate of 5.5% in the second half of this year.” If the scenario plays out (a one in ten chance according to Morgan Stanley), it “would have major implications for global markets.”
Tags: Banking sector, China, Deleveraging, GDP, Global markets, Government, Growth, Morgan Stanley, Policy, Scenario, Super-bear
Institutional Investor (August Issue)
“Morgan Stanley and other banks get serious about sustainable investment.” In April, Morgan Stanley launched an Investing with Impact Platform, which will group sustainable investments (currently some 70 different products) around four categories. UBS is pushing its “analysts to integrate sustainability factors into their company and sector coverage” and now requires “all analysts to include a section on ‘sustainable innovation’ in their annual sector outlook reports.” In addition, Royal Bank of Canada seeded an impact investing fund which it may open to investors next year.
