China’s Credit Bubble Is Unprecedented In History – Charlene Chu

Chinese banking narrowly avoided a high profile embarrassment last week after the Industrial & Commercial  Bank of China Ltd announced that holders in a financial product issued by China Credit Trust could redeem their funds by selling out to unidentified buyers, according to an investor quoted by Bloomberg. See Charlene Chu’s GS interview on China The prospect of the default had engaged international attention and was particularly ill-timed considering the global turmoil emanating from emerging countries in recent days. China’s insidious shadow banking industry Yet the incident was a chilling reminder that China’s vast shadow banking industry was really joined…