Catherine Cai, the executive vice chairman and chairman of Greater China's investment arm for UBS, has given a bullish assessment of the world's second-largest economy despite the ongoing trade conflict with the U.S.
Speaking at East Tech West in the Nansha district of Guangzhou, China, Cai said she expects to still see "moderate growth" in the Chinese equity market next year and suggested investors should keep the country's assets as part of their portfolios.
"I still believe, and the UBS house view also believes, that China (is) still representing the most investment opportunities in the world. Maybe we can conservatively say one of the most opportunities in the world … We still think the next year will see moderate growth in the equity market as well as the GDP (gross domestic product) growth," she told CNBC's Geoff Cutmore Wednesday.
Her comments come as a trade war has escalated between the U.S. and China, the world's two largest economies, and disrupted the markets after the President Donald Trump imposed 10 percent tariffs on $200 billion worth of Chinese imports on Sept. 24, and those duties will rise to 25 percent on Jan.1, 2019.
Trump has since suggested in a Wall Street Journal interview this week that he could place a 10 percent tariff on iPhones and laptops. He also said during the interview that it is "highly unlikely" he will delay an increase in tariffs from 10 percent to 25 percent on Jan 1. Trump and China's President Xi Jinping are due to meet at the G-20 summit in Argentina this weekend and it's hoped the two will come to an agreement.