(This story is for CNBC Pro subscribers only.) Shying away from putting money to work in China would be a reckless investment decision, according to the chief of JPMorgan's private wealth business. "Not understanding China and not investing in China...it would be irresponsible to be an investor in today's world if you didn't do that," J.P. Morgan Asset & Wealth Management Chief Executive Officer Mary Erdoes said at the Delivering Alpha conference presented by CNBC and Institutional Investor on Wednesday. Erdoes said when recommending to clients about how to allocate assets around the world, J.P. Morgan strives to get away from a "home country bias." "Getting up out of that home country bias, diversifying around the world and importantly in places like China," said Erdoes. Investing in the world's second largest economy comes with high growth opportunities, but is accompanied with political risk. The U.S. and China have been embroiled in a trade war since 2016 with volatile trade talks and tariffs over the past four years. China has been accused of stealing intellectual property of U.S. companies. However, Erdoes said the risk of missing out is far greater than the political risk given the economic machine that is China. "China is the number two bond market in the world, its the number two stock market in the world, and its going to be the number one GDP market in the world by 2030," said Erdoes. "Really understanding that when you buy any particular company you need to do a much more sophisticated look through to what the company is producing and where their revenues are coming from," she added. Erdoes listed examples of U.S. companies that investors might not know have most of their revenues coming from China. BMW sells more cars, with more revenue from China, than any other country in the world, she noted. "If you buy Texas Instruments, very little comes from Texas," Erdoes quipped. She said more than 50% of Texas Instruments' revenue come from China. Plus, General Motors sells more cars in China than in the U.S. Erdoes also emphasized China's comfortability with the advancement of technology, compared to the United States. "China is a very friendly tech country. Its investing in its own companies and its reducing the obstacles for tech companies to be successful," Erdoes said. "The U.S. is had a history about thinking about regulations and taxation on the tech companies."
