“As geopolitical concerns mounted, Chinese equities were sold on net for the first time in a month, buoyed by derisking, with long selling outpacing short covering,” Goldman Sachs said. , which added that investors had sold shares both abroad and at home.
In addition to geopolitical risks, managers are closely watching China’s economic recovery after the COVID-19 slump. The MSCI index is up 9.6% this year, after a 22% drop in 2022.
Goldman Sachs collected data from its clients, which include hedge funds and other large money managers, for the period from April 7 to April 13.
Gross exposure to China, which includes the funds’ long and short positions, fell 2.6% in the period.