Morgan Stanley's Wang Ying: Sentiment Towards Chinese Stocks Significantly Improves Among London and Canadian Investors

On October 29, Wang Ying, Chief China Stock Strategist at Morgan Stanley, shared her perspectives after roadshows in Europe and Canada, stating that compared to the second half of 2024, investor sentiment towards the Chinese market has shown marked improvement in London and Canada. They exhibited strong interest in a broad range of stocks, sectors, and thematic opportunities.

"Our last visit to these two regions was about a year ago. Compared to the second half of 2024, we noted a clear improvement in investor sentiment towards investing in Chinese stocks, even among those who held the most cautious views in the past few years. Some investors shared that they have shifted from paying almost no attention to the Chinese market then to being slightly underweight now," Wang Ying wrote in the report.

Furthermore, she mentioned that significant meeting time was dedicated to in-depth discussions on individual stock views, as well as thematic and trade ideas that meet specific investment objectives. Wang Ying views this as a positive signal, indicating that more investors are working on incorporating Chinese stocks into their portfolios. This could foreshadow increased trading activity and fund inflows in the future.

Compared to US investors, those in London and Canada often demonstrate a more balanced focus across a wider range of sectors, whereas US investors show a distinct preference for technology, innovation-related opportunities, and the new consumer sector.