JPMorgan Investors Maintain Interest in US Market, AstraZeneca Commits $15 Billion to China

EXCERPT: JPMorgan Asset Management's Kim Crawford discussed investor positioning, with some diversification being considered due to US policy discontent but ultimately maintaining interest in the US market. AstraZeneca, on the other hand, announced a $15 billion investment in China through 2030.

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Investors continue to show interest in the US market despite some discontent with US policy, according to Kim Crawford, the head of investment and research for JPMorgan Asset Management. The world's largest asset manager, which oversees about $2.1 trillion, has seen some investors diversifying their holdings, but ultimately, the US market remains a desirable destination due to its vast size and depth.

"There is some discontent on US policy, and some diversification is being embraced," Crawford said in an interview with Bloomberg. "But ultimately, investors still want to be in the US given the breath, depth, and size of the US Treasury market."

Meanwhile, AstraZeneca Plc, a leading UK drugmaker, announced plans to invest $15 billion in China between 2022 and 2030. The company aims to expand its medicines and manufacturing, as well as research and development, during British Prime Minister Boris Johnson's visit to China.

"Our commitment to China will continue to grow, and we see significant opportunities to expand our medicines and health care offerings, as well as to collaborate with local partners to drive innovation and improve patient outcomes," Pascal Soriot, AstraZeneca's chief executive officer, said in a statement.

This investment marks a further commitment to China for AstraZeneca, which already has a significant presence in the country, with 10 manufacturing sites and a research and development center in Shanghai. The company's investment in China represents a significant portion of its planned $30 billion investment in R&D by 2023.

The investment in China comes as the UK seeks to deepen its trade relations with China, following the end of the Brexit transition period. The visit by Johnson, which began on February 15, 2022, is the first by a British prime minister since 2015.

The UK and China have enjoyed a robust trading relationship, with two-way trade reaching £76.2 billion ($100.2 billion) in 2019. The investment from AstraZeneca is expected to contribute to the continued growth of this relationship, particularly in the pharmaceutical sector.

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