Posted 12/26/2023, 11:00:00 PM
Chinese 'Common Prosperity' Stocks Plunge Despite Alignment with Xi's Agenda
- Investors lost big in 2023 on Chinese consumer and green energy stocks bought based on Xi's "common prosperity" agenda
- Stocks like China Meidong Auto, Li Ning, and Pylon Technologies have plunged over 68% despite seeming like havens
- These stocks aligned with Xi's priorities like narrowing wealth gaps and developing renewables, but suffered as growth faltered
- Goldman named 50 "common prosperity" stocks in 2021, including Li Ning and LONGi Green Energy, that have deeply underperformed
- Smartphone and semiconductor stocks have rallied from innovation and government investment, defying the weak broader market