China's Shanghai Composite index remained firmly in the red on Monday, closing down 1.1 percent, on the back of renewed concerns over the world's second-largest economy.
Commodities and Chinese equities were among the worst-performing assets in the world in July, with the Shanghai Composite reporting it biggest monthly lost since August 2009, falling over 14 percent.
But some investors remain convinced of China's long-term growth story, despite the dramatic plunge in the stocks and shaky economic data releases of late.
"While the slide in China's mainland stock market is dominating headlines, investors should remember that the long-term story for China is reform. Despite short-term policy errors that triggered the market sell-off, actions by the state reflect China's desire to implement financial and structural reforms to boost long-term growth. This is occurring at a much faster pace than anyone could have anticipated," investment director for GAM, Michael Lai, told CNBC.
"State intervention to halt the slide in the A-share market was wrong. Although the market stabilization measures had the desired effect, it came at the price of an un-investible market, undermining the state's own plans for market overhaul," he added.
"The government now needs to step back and let market forces determine the fair price at a sector and individual stock level."