Category Archives: debts

Corporate bond market might default before it matures – Sara Hsu

Hailed as an alternative way to raise funds, China´s corporate bond market faces a potentially fatal end as its second default is looming, writes financial analyst Sara Hsu in the Diplomat. Defaults were seen as way to discipline the market, but the opposite might happen.

Why China´s corporate debt is riskier – Sara Hsu

China´s corporate debt last week outstripped the US, according to a report by Standard and Poor´s, a staggering US$14.2 trillion at the end of 2013. But it is not only the size that matters, writes financial analyst Sara Hsu in the Diplomat. China´s corporate debts is very different from that in the US.

Raising US$500k in two minutes, the Dianrong story – Marc van der Chijs

China is not short of amazing success stories, especially when it comes to the internet. VC Marc van der Chijs is board member if Dianrong.com and tells how the company raised US$500,000 in two minutes for a new financial product.

Real estate problems are limited in size – Mario Cavolo

Most media are hyping up the problems in China´s real estate, argues author Mario Cavolo on his website. Fortunately, he finds support in articles in the Wall Street Journal by Nicole Wong and in research of CLSA.

Regulating wealth management products – Sara Hsu

China is about to start regulating its financial jungle of wealth management products, one of the causes of its giant shadow banking system. Time to protect the consumers against those risky products, writes financial analyst Sara Hsu in the Diplomat. An overview of the regulations

Next, the state has to let the banks go – Sara Hsu

Liberalization of the interest rates is a first important step in financial reforms, but it is not enough, tells financial analyst Sara Hsu in the EastAsiaForum. Next the state needs to let the state banks go.

Property downturn: what are the effects? – Sara Hsu

Whether China property bubble is popping, or more slowly evaporating, the effects on its economy will be enormous. Financial analyst Sara Hsu lists three of the most important effects for The Diplomat. She predicts no crash, but very serious effects indeed.

Cautiously positive about China´s financial reforms – Sara Hsu

Financial analysts Sara Hsu has been predicting doomsday scenario´s for China´s financial stability in the past. But the announced financial reforms have made her carefully optimistic about the direction the country is taking, she writes in the China Brief.

Mini-stimulus, but no crisis mode – Ben Cavender

Unlike previous actions when the central government would splash almost unlimited financial resources to boost the economy, now the announced mini-stimulus show a much more controlled way to push the economy in the right direction, tells business analyst Ben Cavender in the TradingFloor.

Who is going to clean up the debt mess? – Sara Hsu

The bears and bulls on China have predicted the country will collapse under its debts, or maintained the government could just write them off. Financial analyst Sara Hsu remains in The Diplomat on the bearish side, and wonders who is going to clean up the mess.