China’s Economy vs. Market Cap: A Global Imbalance - VoronoiChina’s Economy vs. Market Cap: A Global Imbalance
Key Takeaways
- China’s GDP weight is 19% of the global economy, while its market cap is only 3% of the global total.
- Many other major countries like India and the UK have weightings that are much more closely aligned.
- In light of this, investors may consider a larger or standalone allocation to China in their portfolio.