A mother holding her child poses for a photo at the Tiananmen Square. Chinese tourist officials have reassured visitors the country is safe after an attack in the western region.
A mother holding her child poses for a photo at the Tiananmen Square. Chinese tourist officials have reassured visitors the country is safe after an attack in the western region.

China reassures tourists after Xinjiang attack



BEIJING // A senior Chinese tourism official reassured Olympic visitors today that the country is safe to visit despite an attack in the far western region of Xinjiang. He admitted, however, that China has a poor global image and officials have said the storm of bad publicity in the run-up to the Beijing Games, including unrest in Tibet and protests during the torch relay, could put people off coming.

Curbs on visas and plummeting tourist numbers in Beijing before the Games, which start on Friday, have compounded the problem and caused pain for hotels and airlines. The latest piece of bad news came yesterday, when 16 policemen died in an attack in the former Silk Road city of Kashgar in Xinjiang, home to the Uighur people. "These kinds of things happen in other parts of the world too, and of course it will naturally have a psychological effect on tourists," Du Jiang, the deputy head of the China National Tourism Administration, said.

"But I think this is an individual incident. At the same time there has been no fundamental change to the fact that we are basically a safe travel destination. "I believe that through stepping up our work we can get the message across once again that China is safe and good value." The Uighurs have been a focus of China's strict nationwide security in the run-up to the Games. Officials have said militants seeking an independent 'East Turkestan' homeland are among the biggest threats to the Olympics.

Hotel reservations seem to reflect fears some people may have about coming to Beijing. Four star hotels have said, on average, less than half their rooms are booked during the Olympic period. Some three star hotels have only managed to book out a tenth of their rooms. "There is certainly a negative impression," Mr Du said, referring to the image of China in many foreigner's minds. "We must release news in a timely way to ensure people know the real situation."

Yet Mr Du only had one suggestion for how to alter perceptions - promoting China better to an outside audience through advertisements. "We have made a brand-new publicity film, and we will increase work in this regard to put across the image that China is a safe destination," he said. *Reuters

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By Ben Okri (Head of Zeus)

The struggle is on for active managers

David Einhorn closed out 2018 with his biggest annual loss ever for the 22-year-old Greenlight Capital.

The firm’s main hedge fund fell 9 per cent in December, extending this year’s decline to 34 percent, according to an investor update viewed by Bloomberg.

Greenlight posted some of the industry’s best returns in its early years, but has stumbled since losing more than 20 per cent in 2015.

Other value-investing managers have also struggled, as a decade of historically low interest rates and the rise of passive investing and quant trading pushed growth stocks past their inexpensive brethren. Three Bays Capital and SPO Partners & Co., which sought to make wagers on undervalued stocks, closed in 2018. Mr Einhorn has repeatedly expressed his frustration with the poor performance this year, while remaining steadfast in his commitment to value investing.

Greenlight, which posted gains only in May and October, underperformed both the broader market and its peers in 2018. The S&P 500 Index dropped 4.4 per cent, including dividends, while the HFRX Global Hedge Fund Index, an early indicator of industry performance, fell 7 per cent through December. 28.

At the start of the year, Greenlight managed $6.3 billion in assets, according to a regulatory filing. By May, the firm was down to $5.5bn. 

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How to protect yourself when air quality drops

Install an air filter in your home.

Close your windows and turn on the AC.

Shower or bath after being outside.

Wear a face mask.

Stay indoors when conditions are particularly poor.

If driving, turn your engine off when stationary.