News in brief: China, Javid, FX, currencies, market turbulence

News in brief
News in brief

Javid signs MoU with China to boost trade links

Business Secretary Sajid Javid recently oversaw the signing of commercial UK-China contracts in Birmingham with the Chinese Minister of Commerce Gao Hucheng as part of the UK-China 12th Joint Economic and Trade Commission (JETC) to boost cooperation and understanding between the two countries.

The UK attracts up to a third of all Chinese investment into Europe over the past two years and the Business Secretary will use the visit to highlight the investment opportunity in the Midlands.

Business Secretary Sajid Javid said: “[The] visit by Chinese Minister of Commerce Gao Hucheng to Birmingham was a great opportunity to showcase the Midlands as an engine for growth and investment. The UK is the leading destination for Chinese businesses bringing economic and jobs benefits not only to the Midlands but to the UK as a whole.”

Details of the Memorandums of Understanding and business contracts include:

• Introducing House of Fraser and Hamleys department stores into Xuzhou Sanpower Plaza Complex Project in China.

• Developing the Sino-UK cultural and creative industrial park to enhance cooperation between China and the UK for creative projects.

• Nottingham and its sister city of Ningbo in China signing a 5 year deal to become the first UK and Chinese authorities to develop closer trade and civic ties. The deal will help Midlands firms to establish trade and export opportunities in China.

Investors should make the most of market turbulence

Right now, markets are volatile, but investors should be using this turbulence to their advantage and building up their portfolios to grow their wealth.

This is the advice from founder and CEO of the deVere Group Nigel Green, speaking out as many global financial markets, including the UK’s FTSE and China’s Shanghai Composite, have tumbled this week, whilst indices in the US have risen.

Mr Green comments: “There are two key reasons why investors should be building up their portfolios now, in these more volatile times, in order to grow their wealth.”

“First, are long-term benefits. No-one can accurately predict when the markets will finally reach the bottom – it could be a month, it could be six months, who knows. But what we do know is that over the longer-term the performance of stock markets is fairly predictable: they go up.

“By not topping up and diversifying portfolios now, investors are pushing back the longer-term benefits they could be starting to reap. Why forsake the long-term gains that would be generated on money invested now.

“Second, the buying opportunities. The see-sawing markets are a chance for investors to put new money into markets at lower prices. A slump in the market means that there are high quality equities available at more attractive prices.”