Founder and Research Chairman, Leeb Group
Some US companies have the right stuff when it comes to setting up shop in China, asserts Stephen Leeb, editor of The Complete Investor.
Both have deep long-term relationships within China, where they have been instrumental in numerous acquisitions, mergers, and dedicated partnerships.
A sense of trust is particularly important in doing business with China, and both Stephen Schwarzman, the head of Blackstone, and David Rubenstein, co-founder and CEO of Carlyle, have extensive Chinese relationships.
Rubenstein has forecast that China’s growth will continue to lead the world and said he wants to multiply the number of Carlyle professionals working in China. Schwarzman has created an international scholarship program at Tsinghua University.
The dynamics of an interconnected and growing world should ensure rapid growth for both companies. Each has a modest P/E, a low PEG ratio, and a high and growing dividend yield.
AUTHOR…INVESTMENT ADVISER…MONEY MANAGER
Stephen Leeb is a prolific author, investment adviser, and money manager who has been analyzing financial markets for more than 40 years. He is known for his prescience in connecting the dots among hidden or overlooked trends – macroeconomic, scientific, and geopolitical – and accurately describing the investment implications, often going against the conventional wisdom. He is the author of nine books on investing and geopolitical trends including his most recent book, China’s Rise and the New Age of Gold: How Investors Can Profit from a Changing World (2020, McGraw-Hill Education). He is founder and editor of the award-winning investment letter The Complete Investor, published by Capitol Information Group, a Washington, D.C.-based financial publisher. Stephen is chief investment officer of his own wealth management firm based in New York City.