Markets have rewarded recent layoff announcements from prominent tech firms such as Meta and Microsoft, but does that mean the sector has bottomed out?
ETFs tracking technology themes received the largest share of fund flows over 2021, as China takes third place in thematic fund market size behind Europe and the US.
It's been a tough year for China's tech sector as it wrangles with punitive central government policies, but asset managers are scenting a fire sale in what they see as underpriced stocks.
The stock’s promising performance stands in sharp contrast to the less fortunate fates of other Chinese companies that have been affected by government clampdowns.
Inflation, fluctuating interest rates, Covid-19 shutdowns, and sporadic reopenings have led to bouts of volatility in the market, with tech stocks bearing the brunt of the selling over the last month.
With social equality and national security being the main drivers for further regulations, investors are keeping a wary eye on the next possible targets.
China’s tightening of fintech regulations has dealt a blow to companies such as Alibaba and Tencent. With a slew of IPOs coming in Hong Kong, investors assess tech stock valuations.
The pandemic has spurred an uptick in the adoption of technology, but for some private equity managers and investors implementing the change has not been easy.
The private equity firm and sovereign wealth fund took advantage of strong bond markets to raise funds to pay themselves a special dividend in an Indian outsourcing company.
Some investors feel China's technology sector has been overfunded and that even some unicorns – private companies worth $1 billion-plus – will die off.