Chinese investors have the same problem as American and Australian investors. Far from being a potential reserve currency RMB is being printed and dsitrubed via credit at greater rates than either AUD or USD
The cause of China’s property bubble is simple: The roaring economy has produced a lot of cash, and people lack secure places to put it. They cannot easily send their money overseas, and mainland stock markets are both opaque and volatile. They are reluctant to save in the bank, lest their wealth be eroded by low interest rates and inflation. So many of them have invested in property, which has consistently notched up double-digit annual returns. Property ownership has become a badge of security that young working people can display to their parents and that a man can display to his fiancé.
Like AUD or USD investor, Chinese investors need to buy gold to protect against RMB depreciation
