Part 2/11:
The crux of the issue lies in a systematic distrust towards the financial reporting of companies in China. The speaker highlights a persistent concern that canopies over more than 15 years: the susceptibility of Western investors to be lured into investing without a full understanding of the risks involved. Often, these risks include political dynamics affecting national strategies, like China’s aggressive posturing towards Taiwan, potentially culminating in large-scale conflicts that could disrupt economic stability.