Clean energy in China has a promising future, but on a longer timeframe than most investors might expect, according to Agnes Deng, Head of HK China equities for Baring Asset Management (Asia).
“In the aspect of clean energy, there will be growth for sure,” she said. “Currently speaking, in the whole [China] economy, this sector occupies a very small portion, especially when compared to developed countries or markets.”
She said, at present profitable companies might be hard to find, but the prospects of the China clean energy sector is quite promising. “I believe, in five to 10 years ahead, some good companies will be found,” she said.
Speaking at a press conference in Hong Kong, Deng was optimistic for the China stock market claiming market valuations are close to historical lows. For the Baring Hong Kong China Fund, Deng will focus on quality growth ideas in technology and internet sectors.