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Ultimate Stocks update: China gets tough

20/08/2021

Technology US

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China’s new Personal Information Protection Law has seen the shares of many China based technology groups take a hit, including a constituent of our Ultimate Stocks portfolio. But is it as significant as the share price declines imply?


China’s proposed new national privacy law, a first for the country, closely resembles Europe’s General Data Protection Regulation (‘GDPR’) and contains provisions that require any organization or individual handling Chinese citizens’ personal data to minimise data collection and to obtain prior consent. With GDPR having gone through 'relatively' smoothly throughout Europe, you might well wonder why China’s version has resulted in such a steep decline in the share prices of many of that country’s technology…

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