Investors are piling into Chinese equities funds as fast as asset managers are launching them. But investing in China now is to assume the best of an uncertain environment - there are at least four reasons to be sceptical of fund managers’ optimism, at least in the near term.

Last week, Ashmore announced that it would be raising a Chinese equities fund, capped at $200m. Yesterday, Baring Asset Management said it raised $200m from institutions to invest in China, and next week Anthony Bolton's Chinese Special Situations investment trust will start trading, having raised £460m. Emerging markets manager East Capital has this week acquired a Chinese equities boutique, Asia Growth Investors, because it is convinced about the potential for Chinese growth.