China's bond laws remain a 'quagmire' for foreign investors, warns advisory firm

China's legal system may cause problems for foreign investors

With tough restrictions on foreign investors' access to financial markets in mainland China, offshore bond issues from Chinese corporates have attracted interest from investors looking to gain exposure to one of the world’s fastest-growing economies.

But there are concerns that, in the event of a default or a bankruptcy, China’s legal system may prove an obstacle for offshore creditors looking to recoup their money. Nick Gronow, executive director of FS Asia Advisory, a specialist restructuring