Soros fund chief is avoiding investing in China

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Soros Fund Management is steering clear of investing in China, said Dawn Fitzpatrick, the firm’s chief investment officer.

“We are not putting money into China right now,” she said in an interview at the Bloomberg Invest virtual conference. 

Ms Fitzpatrick said investors need to be “really careful” about putting cash into US-China listings.

Investors are questioning the viability of investing in China after the government began clamping down on industries ranging from tech to online education. 

George Soros has criticised president Xi Jinping’s policies and said in a Wall Street Journal op-ed last month that “pouring billions of dollars into China now is a tragic mistake”.

Investors have been caught by surprise by what China is doing and the extent of economic damage the government is willing to tolerate for its plan, Ma Fitzpatrick said. 

Chinese companies currently traded in the US will largely have to delist and move to Hong Kong, she said. 

It will be “a while” before early-stage venture companies in China have an avenue to go public, she added. 

As a result, though some big names might go public near-term in Hong Kong, overall, the path from private to public in China is going to take longer.