China's Improving ROE, A Positive Sign?

As central banks fail to stimulate growth in Europe, the US and the UK investors are increasingly looking to emerging markets in an attempt to find growth stocks trading at attractive valuations. Indeed, companies in developed markets are plagued with contracting profit margins, and falling returns on equity as competition heats up and costs rise — a result of higher minimum wage requirements. Matthews Asia Perspective: Brexit Impact On China With little or no economic growth, companies operating in developed markets are now almost entirely relying on market share growth to increase sales, and this is bad news for the…