CGS International Securities (CGS International) successfully concluded its inaugural China A-Share Conference on 25 April 2024. The conference brought together highly influential and experienced professionals including award-winning analysts and industry leaders to provide hyperlocal insights on the China market.
The conference began with welcome addresses from Ms Carol Fong, Group CEO of CGS International, and Dr Luo Liming, Member of the Party Committee, Member of the Executive Committee, Vice President, and Chief Information Officer, China Galaxy Securities.
“CGS International is dedicated to fostering a culture of collaboration and seizing opportunities to enhance knowledge sharing with the industry and the communities which we serve,” said Ms Fong on its rebranding. She emphasised the critical need to support the growth of local teams via collaborations with CGS. She added that CGS International’s elaborate research capabilities were crucial building blocks for their diverse product offerings. Future collaborations with CGS will be a primary enabler to achieve the firm’s vision of becoming a leading global investment house.
In his speech, Dr Luo emphasised on the importance of the ASEAN region as a crucial economic center, with Singapore having been an important partner of China in deepening regional cooperation. He strongly believes that the high-quality and well-rounded relations between China and Singapore will become a fertile ground for China Galaxy Securities to serve Singapore-based and other regional investors and capital markets. With CGS International’s strong hold on local know-how, supported by China Galaxy Securities’ global capabilities, this conference is a step towards enabling broader and smoother international collaboration.
This was followed by large track presentations by China Galaxy Securities’ Chief Economist, Mr Steven Zhang Jun and CGS International’s Senior Economist, Ms Angela Cheng.
Mr Zhang and Ms Cheng delved into a deep macroeconomic analysis of China, going beyond the usual cyclical assumptions. Despite a GDP growth of over 5% last year, China’s growth is still running below the long-term trend creating a need for more decisive stimulus. He went on to speak about the Belt and Road Initiative, impressively noting that China’s trade value with Belt and Road countries has almost tripled in 7 years.
Analysts Mr Gao Ming, Ms Xu Dongshi and Mr Yang Chao explored the structural changes in the Chinese economy since 2020 and reviewed these changes from a post-pandemic lens. Mr Gao narrowed down on the growing prominence of the energy industry and the digital economy within the industrial and service sectors respectively. While the real estate sector is on a decline, Ms Xu noted a strong increase in manufacturing and infrastructure investments. This presentation was concluded by Mr Yang as he walked the audience through some investment styles and themes that characterise China’s A-Share market.
The spotlight shone on China’s high-tech sector, one of the driving forces behind its economic resurgence. Ms Wu Yanjing, Chief Analyst of Computer, and Mr Gao Feng, Chief Analyst of Electronics, showcased insights from China Galaxy Securities’ research team. Core technological catalyst, Artificial Intelligence, has officially launched the Fourth Industrial Revolution. Notably, they were confident that China is poised to capitalise on the digital wave, with expectations that the domestic digital economy would account for 71.60% of GDP in 2035.
These insightful presentations were followed by stimulating conversations on other burgeoning markets such as renewables, machinery, new energy vehicles, healthcare, and domestic consumption.
About CGS International Securities
CGS International Securities Pte. Ltd. (CGS International) is an award-winning and market leading integrated financial services provider, ranked among the top securities houses in Asia. CGS International taps on our wealth of global and ASEAN insights to offer equities trading, leveraged products, wealth management, investment banking, equities research, Shariah-compliant financing, fixed income, currency and commodities, structured products and prime brokerage services in over 15 countries and regions.
