Prominent investor Wong Kok Hoi stated that US President Donald Trump's push for a weaker dollar, combined with volatility in gold, silver, and cryptocurrencies, is prompting a reassessment of traditional safe havens, positioning China as a potential winner.
On Tuesday, at the launch of a new China financial markets research centre co-founded by APS Asset Management and the China Europe International Business School (CEIBS), Wong Kok Hoi, founder of APS Asset Management, told reporters: “I think China will be a beneficiary of the speculative bubble in precious metals and crypto, the dollar’s weakness, and also maybe the Trump factor.”
Global volatility is forcing a rethink of traditional safe havens, creating opportunities for Beijing, the prominent investor said. Foreign institutions such as BlackRock China and Fidelity International have recently argued that, over the next three to five years, global portfolios are likely to steadily reduce their reliance on dollar-denominated assets. They expect a gradual shift towards greater diversification, with particular emphasis on China’s market recovery and structural strengths, such as comprehensive supply chains and strong innovation capacity.
“Many of those global investors want to diversify away from dollar assets,” Wong said, adding that a growing share of capital is likely to rotate into yuan assets.
