Report from Fitch Ratings, headlines via Reuters:
- Rapid growth of Chinese investment cos is building risks
- On Chinese investment cos, their strategies and risk controls have not been tested by significant market volatility or an economic downturn
- Expect assets of Chinese ICs to rise by more than 25% per year over next five years
- Reliance on divestment proceeds, bank loans to meet cash outflows creates risk that could push them into fire-sales in liquidity stress
- Most Chinese ICs been able to meet performance targets; their strategies, risk controls not tested by significant market volatility or economic downturn
