China’s benchmark Shanghai Composite Index soared above 6,000 for the first time this week, renewing fears that the market, which has increased six times in value in the past two years alone, is about to crash, The Wall Street Journal reports.

Nonetheless, many observers say that the fact that more than 50 million Chinese have flocked to the stock market in recent years has strengthened China’s financial services industry, enabled it to become modern and resulted in more sophisticated investors—groundwork that will continue to help China’s economy grow.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.