Glen Finegan, Skerryvore's Lead Portfolio Manager, attributes their lower exposure to two main reasons: state ownership and the legal structures around big tech.
“We try to avoid investing in state-owned enterprise, of which there are a lot in China. Banks for example, are state-controlled, the oil and gas businesses. A lot of the big businesses in China are state-controlled businesses and we don’t invest in state-controlled businesses in any other country so we wouldn’t in China."
In this Livewire Expert Insights video, Glen discusses Skerryvore’s exposure to China along with their watchlist for Chinese companies to hold in the future. He also explores one of the portfolio holdings, Hangzhou Tigermed Consulting, which runs drug trials in China.
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