Recent data highlights a striking imbalance between GDP weight and market capitalization among major economies. China accounts for 19% of the global […]
Recent data highlights a striking imbalance between GDP weight and market capitalization among major economies. China accounts for 19% of the global economy but represents only 3% of global market capitalization — the largest gap relative to its economic size. In contrast, the United States holds 27% of global GDP yet commands nearly 48% of global market cap.
This divergence reflects not only differences in market development and investor sentiment but also varying levels of governance, transparency, and regulatory frameworks. For businesses and investors, such gaps underscore the importance of sound compliance, accurate reporting, and strong corporate governance when operating across global markets.
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