Chinese government aiming at wealth
The CCP has been cracking down on all fast-growing sectors. Any sector or company with large growth over the past years.
They don't want too much wealth accumulation or wealth inequality, reportedly. They're seeking an equality in the society.
It makes it more difficult for investors, because they don't know what to price in to their estimates.
No one knows what other regulations will be coming from the party.
The thing started with Ant group a few months ago. Recently, the whole tutoring sector. Some investors think the next sector might be health care. Large US investors are starting to pull out of investment in China, it has been reported.
'The Chinese party has shown you who they are and what they care about,' said Kyle Bass of Hayman Capital, who thinks China is hoping people will stop investing in Chinese companies in the US and start investing in Chinese companies in Hong Kong, as China says HK will adjust it's listing requirements to make it easier for Chinese companies to list there.