Qi Wang speaks to Lance Jiang of Addleshaw Goddard (law firm) and Bruce Cheung of Infinity Asset Management (family office), about the USD bond defaults of Chinese companies, including Evergrande.
For our thoughts post the call, please click here.
The main speaker Lance Jiang is an experienced international lawyer specializing in bond default, debt restructuring and bondholder rights. He currently represent the investors in several default cases, such as Evergrande, Logan, Yuzhou, Peking University Founders and Tsinghua Unigroup.
Key Takeaways
The views expressed on this webcast are those of the speakers and not necessarily the views of Daily Reflection on China or MegaTrust Investments.
Bruce Cheung said that in a bond default situation, many non-institutional investors are left helpless, with little support and limited information from the intermediaries that sold them the papers.
He also noted an “imbalance of power” between the bond issuers (companies) and the small investors, like high net worth individuals and small family offices.
Lance Jiang confirmed that the defaulting companies often employ multiple legal counsels and financial advisors trying to avoid, delay and minimize the repayment. Small investors typically cannot afford to negotiate or litigate on their own.
Listen to this episode with a 7-day free trial
Subscribe to Daily Reflection on China to listen to this post and get 7 days of free access to the full post archives.
