Looking good: China small caps grab investors’ attention

The growing universe of smaller companies in China presents investors with an opportunity to tap a hotbed of innovation within a segment that has long been undervalued, according to Tiffany Hsiao, portfolio manager at Matthews Asia. China in recent years has fostered entrepreneurship and innovation among an ever-growing and prosperous middle class. Add the mainland’s unprecedented scale to the mix, and the foundations for the country’s small businesses to compete with their much l…