One of China’s best-performing bond fund managers boosted holdings of local government financing vehicles after a key economic policy meeting last month fueled optimism in the debt-laden sector.
“We took a heavy position in LGFV bonds after the Politburo meeting,” said Zhang Yi, investment director of the asset management department at Guolian Securities Co., referring to the gathering in July of the Communist Party’s 24-member top decision-making body. She said there were positive policy signals from the meeting, with a pro-growth tone regarding support for local government debt and the property sector.
Zhang Yi
Source: Zhang Yi
Combined two-year performance of the ...
