Eight Roads Ventures, the proprietary investment arm of Fidelity International Ltd, will soon launch an investment in new consumption companies in Shanghai, Jiefang Daily reported on April 27.

Although the COVID-19 pandemic has had a big impact on enterprises, in the eyes of investors the market still offers many opportunities.

"A slowdown in economic activity will force companies to change," said Jarlon Tsang, managing partner at Eight Roads Ventures Asia. He cited as an example that, for new consumer brands growing online, the pandemic will promote their supply chain coordination and brand power, which is in line with the development direction of the new online economy strongly supported by Shanghai.

Also, LYFE Capital has just completed a major investment in Shanghai. As a European and US LP (limited partner) investment institution, LYFE Capital recently led  investment in Shanghai macromolecular biological drug developer ZhenGe Biotechnology's $51 million A-round financing.

LYFE Capital's financial director, Xu Wenyi, said, "The outbreak is helpful for us to find some strong anti-risk targets."

The continuous investment of foreign institutions in the domestic equity investment market has covered the online new economy and other internet and information technology, biomedicine, consumption upgrading and other fields.

"Shanghai not only provides us with a huge market, but also a policy and business environment that is in line with international standards," said Tsang.

Tsang said the impact of the outbreak is short-term, and Shanghai, as China's financial and scientific innovation center, is still full of investment opportunities.