Kohler: Making Money This Year

The three top performers on ASX in 2015 – St Barbara, Bellamy’s and Blackmores – point to what I think will be the key investment opportunity for 2016. That is China, but in a different way than ever before. China is both the key risk and biggest opportunity for investors in 2016, as it was in 2015. As the Chinese economy continues to slow, and its investment in infrastructure and housing slows even faster than the economy, the potential for further commodity price falls remains the number one investment risk for 2016. But there is a very optimistic side to what’s going on in China. The truth is that China’s economy is not just slowing, it’s changing; rebalancing towards consumption and services and away from exports, heavy industry and especially infrastructure. It is a deliberate plan, ardently desired by China’s leadership, but, in any case, it’s happening whether anyone likes it or not. Chinese consumers are gaining in confidence, power and, most importantly, wealth. See the full article from Alan Kohler: (VIEW LINK)