🪒 China's close shave

A Chinese titan almost defaulted | Britain's glow-up was a little misleading | [Finimize](   TOGETHER WITH   Hi {NAME}, here's what you need to know for September 6th in 3:07 minutes.   🧱 Real estate isn’t just about bricks and mortar: it can be a pathway to a rock-solid portfolio too. So join Allbricks’ Shahram Shaida for [A Beginner's Guide To Building Wealth Through Real Estate]( and find out how to lay the foundations for a sound financial future. [Get your free ticket]( Today's big stories - A Chinese mega-developer narrowly avoided defaulting on its debts - Here’s how ChatGPT can help you understand investing better – [Read Now]( - UK consumer spending seems to have perked up in August – but the real picture’s got some sunspots Towering Debts [Towering Debts] What’s going on here? One of China’s biggest developers has [avoided]( defaulting on its debt… for now. What does this mean? Country Garden was once seen as one of China’s safest developers, but even a firm with a reassuringly rustic name can experience nasty twists of fate. And it’s not too hard to see why: home sales have been crumbling (in August they were down a staggering 72%) and homebuyer confidence is in a serious rut. That super weak market has left the firm struggling to make interest payments on its bonds – missing an initial deadline in early August, before rustling up the funds just in time to avoid defaulting this week. For investors, already biting their nails over China’s wobbly property sector, that move was probably a tad too close for comfort. Why should I care? Zooming in: Super-size shockwaves. Don’t relax just yet. Country Garden’s still neck-deep in debt, to the tune of almost $200 billion. And here’s the kicker: a lot of the firm’s projects are in lower-tier cities, places with smaller crowds and lukewarm housing demand – areas, in short, that aren’t likely to benefit very much from any stimulus measure magic. And if things do go south, Country Garden’s heft means the fallout will be equally weighty. After all, Evergrande’s 2021 default was a shocker, and Country Garden oversees four times the number of property developments. The bigger picture: Too little, too late. The Chinese government has been trying to stabilize the crucial property sector lately, lowering minimum interest rates for first-time homebuyers in cities like Beijing and Shanghai last week. But analysts aren’t convinced these moves are enough: after all, big players, including Country Garden, are facing $8 billion in bond payments in the next six months, providing plenty of potential stumbling blocks for the industry. You might also like: [Macro and markets guide: China.]( Copy to share story: [/towering-debts]( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Towering Debts&utm_campaign=daily-global-06-09-2023&utm_source=email) Analyst Take How To Use ChatGPT To Turn The Things You Read Into An Investing Masterclass [How To Use ChatGPT To Turn The Things You Read Into An Investing Masterclass]( [Photo of Stéphane Renevier] Stéphane Renevier, Analyst Reading [smart things about investing]( is a step in the right direction. But to truly get the most out of what you read, it can help to engage with it [on a deeper level](. That means digging deeper, thinking critically, and asking [good questions](. The good news is, you can [lean on ChatGPT]( to do that work. That’s today’s Insight: [how to use ChatGPT to get a lot more out of the things you read.]( [Read or listen to the Insight here]( SPONSORED BY MASTERWORKS The alternative asset that’s outpaced the S&P 500 by over 130% Picture an [art investor](. Let us guess: older, established, a little posh, extremely rich. Sure, they might be the ones hanging out at the auctions. But check out fans of [Masterworks](, and you’ll see smart, savvy, modern investors with an eye for [diverse, stable opportunities](. Contemporary art prices have [beaten the S&P 500]( by 136% over the last 27 years, have the [lowest correlation to stocks]( of any asset, and [stayed stable]( through the dot-com bubble and 2008 crisis. And these days, you can skip the auction hall and storage costs. Instead, you can [buy shares of multi-million dollar artworks]( by legends like Banksy and Picasso on [Masterworks](. Masterworks’ track record of tidy exits includes net [returns between 10%, 27% and 35%]( – even while financial markets spiraled. And because you’re a Finimize reader, you can [skip the waitlist](. DisclaimerSee important disclosures at [masterworks.com/cd]( [Find Out More]( When you support our sponsors, you support us. Thanks for that. Britain’s Brushing Up [Britain’s Brushing Up] What’s going on here? UK consumer spending data [painted]( a rosy picture for August – but scratch the surface and some darker spots appear. What does this mean? Official data isn’t due out until later this month, but the British Retail Consortium’s figures normally work as a kind of crystal ball for retail sales. And if these numbers are right, then this August was actually a bit of a party. Sales shot up by 4.1% from the same time last year, outpacing the three-month average and making July’s 1.5% growth look like small change. Experts think a boost in consumer confidence meant sectors like health, beauty, and snacks had a field day, soaking up those rare British summer rays. But it wasn’t all sunshine and rainbows: clothing and footwear felt a cold breeze, and online sales – well, they've seen better days. Why should I care? The bigger picture: Inflation’s deflating hopes. On the face of it, those figures seem positive, sure – but let’s not forget that they don’t account for inflation. So with the rate of price rises growing by more in July than sales grew in August, consumers are probably still shelling out more for less. And to muddy the waters further, Barclays’ consumer spending data, factoring in almost half of UK card transactions, shows a spending growth slowdown in August. So while some of these numbers look A-OK, the British retail sector (and the economy it supports) is essentially still on a knife edge. Zooming out: Festive or festering. The coming festive season is shaping up to be a make-or-break moment for retailers. With the chill of high interest rates and winter energy bills looming, they’re crossing their fingers for consumers to keep the holiday spirit (and spending) alive. Otherwise, more names might join the unfortunate ranks of those who’ve folded in the past year – like budget-friendly Wilko and chic homeware haven Cath Kidston. You might also like: [The UK’s cheap. Here's whether it’s worth buying.]( Copy to share story: [/britains-brushing-up]( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Britain’s Brushing Up&utm_campaign=daily-global-06-09-2023&utm_source=email) 🤝 Partner with us Finimize is much more than just this newsletter: we’re a full-blown [one-stop shop]( for engaging with [modern investors](. So whether you’re a fintech, founder, or just a fed-up exec, rest assured – we’ve got [the solutions]( you need. [Book A Demo]( 💬 Quote of the day "The road to success is dotted with many tempting parking spaces." – Will Rogers (an American stage and film actor) [Tweet this]( Maximize your open rates in a few simple steps If you’re reading this, it means the Finimize newsletter stood out in your teeming inbox – and that says a lot about the kind of [subject lines]( that we write. After years of work, millions of emails, and countless A/B tests, we've figured out [the formula]( for industry-leading open rates. And at long last, we’re letting everyone in on our secrets – with a [simple guide to world-class subject lines](. [Check It Out]( 🎯 On Our Radar 1. Rain on their parade. Burning Man 2023 got drenched, but Silicon Valley's [online mockery]( added insult to injury. 2. Crisp basics never go out of style. Give your investment strategy [a refresher](.* 3. Metal heist hits hard. Europe's largest copper producer, Aurubis, was left reeling after some [major theft](. 4. Time to take your first steps. Here's how to [get started on your investment journey](.* 5. Budget flights, decoded. Google's tool reveals the [best times to book](. *Investing puts your capital at risk. When you support our sponsors, you support us. Thanks for that. 🌍 Finimize Live 🥳 Coming Up Soon... All events in UK time. 🏠[Beginner's Guide To Building Wealth Through Real Estate](: 5pm, September 6th 📈 [Diversifying Your Portfolio With Real Estate](: 1pm, October 11th 🎉 [Modern Investor Summit 2023](: 12pm, December 5th and 6th ❤️ Share with a friend Thanks for reading {NAME}. If you liked today's brief, we'd love for you to share it with a friend. You stay classy, {NAME} 😉 We’d love to hear your thoughts. [Give feedback]( Want to advertise with us too? [Get in touch]( Image Credits: Image credits: Andy.LIU shutterstock | Midjourney Preferences: [Update your email]( or [change preferences]( [View in browser]( [Unsubscribe]( from all Finimize Emails 😴 Crafted by Finimize Ltd. | 280 Bishopsgate, London, EC2M 4AG All content provided by Finimize Ltd. is for informational and educational purposes only and is not meant to represent trade or investment recommendations. You signed up to this mailing list at finimize.com or through one of our partners. © Finimize 2021 [View Online](