China - $3 Trillion Debt Contagion Risk as Shadow Banking Giant Zhongzhi Files for Bankruptcy - Joe Blogs

[TexasTowelie]

The SHADOW BANKING Market has expanded rapidly in China over the past 15 years and total exposure now stands at $3 TRILLION. Shadow banks are UNREGULATED and have been using investors' funds to provide debt to Chinese companies as well as making direct investments into property projects and property companies. Zhongzhi is one of the largest Shadow Banks and has now filed for BANKRUPTCY after declaring a $64 Billion Black Hole in its Balance Sheet. Zhongzhi is one of the largest Bankruptcies that China has ever seen and in this video I look at the reasons why the company is insolvent, discuss the risks now facing the whole of the Shadow Banking market and look at the potential impact on the Chinese Economy.

Chapters:
0:00 Intro
4:01 SHADOW BANKING
8:23 CHINESE REAL ESTATE
12:17 ZHONGZHI BANKRUPTCY
17:23 SUMMARY & CONCLUSION

[lonely bird]

1. Hmmm

Looks like their embrace of capitalism is something a bit different than they thought.

[Chainfire]

2. A runaway train is fun until it isn't.

[Cartoonist]

3. The threat to us.

In the past, I've read articles about how much we owe China and how they can call in our marks any time. Did I imagine that?