Demand to grow with incomes: Global X

SHANGHAI - China's consumer discretionary stocks are becoming more attractive as incomes rise and the economy relies more on domestic spending, according to New York-based asset manager Global X Management Company LLC.

Rising Chinese interest rates won't be a deterrent because consumption growth is based more on higher incomes than on credit, Bruno del Ama, chief executive officer of Global X, said in e-mailed comments on Sunday.

"A stronger yuan will make Chinese exports a little less competitive, further highlighting the importance of the development of a local consumer base," said Del Ama, whose China consumer exchange-traded fund has gained 24 percent this year, beating 93 percent of rivals, according to data compiled by Bloomberg.