Google has won a chunk of Vodafone’s cloud computing business. Vodafone is the world’s second-largest mobile operator by subscribers after China Mobile.
The global telecom industry is undergoing a rapid transformation, especially with the advent of 5G technology. We look at the telecom space’s key trends.
Ericsson (ERIC) didn’t do well enough in China in the previous cellular generations, mostly because it lacked the right product range for the Chinese market.
The idea of Vodafone (VOD) buying assets from Liberty Global (LBTYA) in certain European markets doesn’t sit well with T-Mobile (TMUS) parent Deutsche Telekom.
On December 19, Vodafone was the fourth-largest global telecom by market capitalization (~$67.3 billion). The largest global telecom company was AT&T (T).
Vodafone operates nearly globally, providing a range of telecom services centered on mobile technology to more than 483.7 million customers around the world.
The China Caixin Manufacturing PMI (Purchasing Managers’ Index) rose to 50.6 in July from 48.6 in June. This indicates renewed improvement in operating conditions.
China’s MNI Business Sentiment Indicator rose sharply in June to 54.5 from 50.0 in May due to the availability of cheaper credit and better credit terms.
Profits at state-controlled firms have fallen 7.8% YoY. This impacted total industrial profits. The inventory levels at industrial firms fell 1.2% YoY at the end April.
We think that 2016 will be challenging for the Chinese economy. With policy support and improved credit conditions, economic activity stabilized in 1Q16.
In its Asian Development Outlook 2016 report, the Asian Development Bank projected that China’s economic growth should slow to 6.5% this year and to 6.3% next year.
The iShares China Large-Cap ETF (FXI) is the most heavily traded ETF that invests in Chinese equities. It manages $4.7 billion in assets and is invested in 51 holdings.
The Caixin China Manufacturing PMI rose to 49.7 in March—its highest level 13 months—from 48.0 in February, indicating deterioration in operating conditions.
Nokia (NOK) commands a strong presence in China due to its combined installed base of Nokia and Alcatel Shanghai Bell (ALU). In 4Q15, Nokia’s revenues from Greater China (FXI) rose 17% YoY.
China’s exports fell sharply by 25.4% YoY (year-over-year) in February—compared to a decline of 11.2% in January. It was the largest decline since May 2009.
ASiAX is invested in companies such as Broadcom, Taiwan Semiconductor Manufacturing, China Mobile, NetEase, and class B shares of Telekomunikasi Indonesia.
The Invesco Pacific Growth Fund, under normal circumstances, will invest “at least 80% of its net assets in securities of issuers in the Pacific region.”
China’s MNI Business Sentiment Indicator fell to 52.3 in January from 52.7 in December. The overall indicator fell, but production and new orders rose in January.
By market capitalization, AT&T ranks second among global telecom companies as of January 26, 2016. China Mobile (CHL) remains the leader in this metric
According to China’s General Administration of Customs, China’s exports fell 1.4% year-over-year in December 2015, compared to a fall of 6.8% in November.
On January 3, Religare Institutional Research projected that revenues of large-cap IT sector firms in India could grow between 0.3%–1.1% QoQ in fiscal 3Q16.
China’s official manufacturing PMI reading for December 2015 was up slightly and came in at 49.7. However, it was still in contraction mode compared to 49.6 in November.
China accounts for ~8.4% of the global GDP, and manufacturing activity contributes about 31% to China’s GDP. The Caixin China manufacturing PMI declined 0.4 points to 48.2 in December.
China’s currency is flowing out of the economy. With the rate hike looming in the US, Chinese investors are parking their funds in dollar-denominated assets.
The rise in new yuan loans doesn’t directly impact the overall performance of mutual funds. But with the rise in credit flow in the economy, mutual funds with large exposures to financials benefit.
The Caixin China Manufacturing PMI was 48.6 in November, slightly up from 48.3 in October, as manufacturing units signaled stabilized output in November.
China’s official Manufacturing PMI reading for November was slightly down and came at 49.6 as compared to 49.8 in October. This index is released every month.
According to the National Bureau of Statistics of China, industrial production in China rose 5.6% in October compared to 5.7% in September. The reading was below market expectations of 5.8%.
In this series, we’ll look at the performance of AT&T’s (T) overall domestic wireless component in 3Q15. Note that AT&T has divided its operations into four new divisions.
The Eaton Vance Greater China Growth Fund seeks to provide long-term capital appreciation by investing in equity securities of companies in the Greater China region.
According to the National Bureau of Statistics of China, retail sales reached 2,527.1 billion yuan, up by 10.9% in September as against 10.8% in August 2015.
Chinese policymakers should try to implement Ray Dalio’s three rules of thumb as closely as possible to get the country’s economic growth back on track.
China’s Central Bank slashed its interest rate again to increase the amount of money flow in the economy. China’s Central Bank devalued the yuan in August.
For the one-month ended September 30, 2015, the Clough China Fund Class A (CHNAX) stands out as the worst performer of our China-focused mutual funds with a return of -2.2%.
China’s foreign trade data for August were released on September 8. China’s exports in US dollar terms fell 5.5% year-over-year (or YoY) in August, while imports fell sharply by 13.8% YoY.
China’s stock market has been in turmoil since June 2015. Its stock market had been soaring, but after May, there was a share selloff, which led to a crash.
Ericsson has entered into a four-year deal with Indian telecommunication provider Bharti Airtel to deploy 3G and 4G networks in various cities in India.
In this article, we’ll compare the performance of four China-focused mutual funds. China’s stock market crashed on August 24, 2015, and the effect of the crash is clearly visible in their one-month returns.
China’s Leading Economic Index currently indicates that the country’s economy is facing a downturn. Its LEI remained unchanged at 98.71 points in July 2015.
The final reading for the Caixin China Manufacturing PMI came in at a post-crisis low of 47.3 in August compared to 47.8 in July. Growth was restricted by a decrease in output, purchases, and new orders.
