Comments on: Chinese Stocks: Too Hot to Handle? http://www.thesunsfinancialdiary.com/investing/chinese-stocks-too-hot-to-handle/ Fri, 03 Feb 2012 17:42:24 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Shadoxhttp://www.thesunsfinancialdiary.com/investing/chinese-stocks-too-hot-to-handle/#comment-28496 Shadox Sat, 17 Nov 2007 11:43:27 +0000 http://www.thesunsfinancialdiary.com/personal-finance/chinese-stocks-too-hot-to-handle/#comment-28496 Money Blue Book - you may be making a bucket load of money right now, and you may cotinue to make bucket loads of money for years to come, but your investment strategy is extremely risky. By your description it seems to me that your portfolio is not nearly as diversified as it should be. Good luck to you!I don't know whether the Chinese stock market will hold up, continue to climb or drop like a ton a lead, but I do know this: stock markets rarely maintain a straight line trajectory. Stock markets that rise dramatically over a certain period, have a nasty habit of reversing course or retrenching for long periods of time. The bottom line is that investing in China - and other emerging markets - is the hot fad of the moment. Hot investment trends should be avoided like the plague. I have a recent post on the subject, it's called "Fashion Belongs in Milan". You can look it up on my blog if interested. Money Blue Book – you may be making a bucket load of money right now, and you may cotinue to make bucket loads of money for years to come, but your investment strategy is extremely risky. By your description it seems to me that your portfolio is not nearly as diversified as it should be. Good luck to you!

I don’t know whether the Chinese stock market will hold up, continue to climb or drop like a ton a lead, but I do know this: stock markets rarely maintain a straight line trajectory. Stock markets that rise dramatically over a certain period, have a nasty habit of reversing course or retrenching for long periods of time. The bottom line is that investing in China – and other emerging markets – is the hot fad of the moment. Hot investment trends should be avoided like the plague. I have a recent post on the subject, it’s called “Fashion Belongs in Milan”. You can look it up on my blog if interested.

]]> By: rstlnehttp://www.thesunsfinancialdiary.com/investing/chinese-stocks-too-hot-to-handle/#comment-27410 rstlne Mon, 05 Nov 2007 18:08:35 +0000 http://www.thesunsfinancialdiary.com/personal-finance/chinese-stocks-too-hot-to-handle/#comment-27410 I had one Chinese stock, LJ International. I picked it way back when it was a reasonably-valued microcap. This year, it exploded upwards. I sold half my stake in it while it was up nearly 200% year-to-date. I sold the rest of it later in the year when they were late in reporting their financials. It was a tidy profit but definitely risky given their lax approach to accounting. I had one Chinese stock, LJ International. I picked it way back when it was a reasonably-valued microcap. This year, it exploded upwards. I sold half my stake in it while it was up nearly 200% year-to-date. I sold the rest of it later in the year when they were late in reporting their financials. It was a tidy profit but definitely risky given their lax approach to accounting.

]]> By: FourPillarshttp://www.thesunsfinancialdiary.com/investing/chinese-stocks-too-hot-to-handle/#comment-27278 FourPillars Sat, 03 Nov 2007 16:04:25 +0000 http://www.thesunsfinancialdiary.com/personal-finance/chinese-stocks-too-hot-to-handle/#comment-27278 Hi there - great post.It's tough to know whether to invest in hot economies and to what degree.I actually wrote on my feelings about a Chinese mutual fund that I briefly owned.Mikehttp://www.four-pillars.ca/2007/07/03/chasing-china/#more-50 Hi there – great post.

It’s tough to know whether to invest in hot economies and to what degree.

I actually wrote on my feelings about a Chinese mutual fund that I briefly owned.

Mike

http://www.four-pillars.ca/2007/07/03/chasing-china/#more-50

]]> By: Money Blue Bookhttp://www.thesunsfinancialdiary.com/investing/chinese-stocks-too-hot-to-handle/#comment-27038 Money Blue Book Tue, 30 Oct 2007 21:16:28 +0000 http://www.thesunsfinancialdiary.com/personal-finance/chinese-stocks-too-hot-to-handle/#comment-27038 Well I'm nearly 65% invested in the China and Southeast Asian markets so obviously I don't think it's too hot to handle. I was in before the recent boom so I'm definitely in for long haul growth. China truly has great upside...and this is not just dotcom style hype...Transparency is still a major issue and China will have to address this in the future. I hope the changes are gradual rather than drastic however. -Raymond Well I’m nearly 65% invested in the China and Southeast Asian markets so obviously I don’t think it’s too hot to handle. I was in before the recent boom so I’m definitely in for long haul growth. China truly has great upside…and this is not just dotcom style hype…

Transparency is still a major issue and China will have to address this in the future. I hope the changes are gradual rather than drastic however.
-Raymond

]]> By: The Dividend Guyhttp://www.thesunsfinancialdiary.com/investing/chinese-stocks-too-hot-to-handle/#comment-26991 The Dividend Guy Tue, 30 Oct 2007 03:41:19 +0000 http://www.thesunsfinancialdiary.com/personal-finance/chinese-stocks-too-hot-to-handle/#comment-26991 I also have trouble investing on my own in China - there does not appear to be much transparency. I may be wrong, but I suspect these companies are heavily influenced by governments and that just does not sit right with me. I even have trouble investing in Bombardier in Canada because of the federal money that company receives.I will stick with my Global Index Fund! Interest post though...The Dividend Guy I also have trouble investing on my own in China – there does not appear to be much transparency. I may be wrong, but I suspect these companies are heavily influenced by governments and that just does not sit right with me. I even have trouble investing in Bombardier in Canada because of the federal money that company receives.

I will stick with my Global Index Fund! Interest post though…

The Dividend Guy

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