Chinese/Hong Kong investments

influence

Hang Seng Index is in fact not as volatile as those index in China. That's why there is a gap between the A and H shares of some companies in that region.

If I were you, I would invest stocks in HK rather than China since HK has a far more mature market and worldwide liquidity. China is by far still a closed market.

wombat42_2

influence wrote: »

Hang Seng Index is in fact not as volatile as those index in China. That's why there is a gap between the A and H shares of some companies in that region.

If I were you, I would invest stocks in HK rather than China since HK has a far more mature market and worldwide liquidity. China is by far still a closed market.

I am mainly In H-shares via Gartmore China Opps and Threadneedle China Opps funds. I will closely monitor things and at some point (maybe 6 to 9 months time) I will switch into a UK equity income fund and play safe. Cautious managed funds and corporate bonds seem to be a waste of time - I would may as well just stick my dosh in ICICI instead of them.

EdInvestor

wombat42 wrote: »

I will switch into a UK equity income fund and play safe. Cautious managed funds and corporate bonds seem to be a waste of time - I would may as well just stick my dosh in ICICI instead of them.

Agree with you there

Re the HK market here's the UK chart:

http://www.advfn.com/ftse/FTSECharts.asp?index=UKX

Seems to me that the HK market didn't rise as much in the earlier months running up to the credit crunch and thus had less far to fall. So you could say less volatile - but was that in fact what you wanted?

wombat42_2

EdInvestor wrote: »

Agree with you there

Re the HK market here's the UK chart:

http://www.advfn.com/ftse/FTSECharts.asp?index=UKX

Seems to me that the HK market didn't rise as much in the earlier months running up to the credit crunch and thus had less far to fall. So you could say less volatile - but was that in fact what you wanted?

As i said I was mainly into H shares not the general Hong Kong market.

Also in terms of Year To Date (YTD) the FTSE is about zero but the HK index still had a healthy YTD even at the bottom of its recent dip.

I would feel at least as nervous invested in the other world markets right now. They are kinda sinking today :eek:

EdInvestor

You realise you are speculating, not investing, I trust. Very nerve-wracking indeed.

wombat42_2

EdInvestor wrote: »

You realise you are speculating, not investing, I trust. Very nerve-wracking indeed.

These are the two funds I have invested in, decide for yourself:

http://funds.ft.com/funds/gartmore/fundmanagers/GEHKCA

http://funds.ft.com/funds/threadneedle/investments/ADCHIN

http://investing.thisismoney.co.uk/cgi-bin/digitalcorporate/thisismoney/fundhome.cgi

http://investing.thisismoney.co.uk/cgi-bin/digitalcorporate/thisismoney/security.cgi?username=&ac=&id=222856

http://investing.thisismoney.co.uk/cgi-bin/digitalcorporate/thisismoney/security.cgi?username=&ac=&id=38000

[Deleted User]

wombat42 wrote: »

Also a fair number of commentators believe the Chinese authorities wouldnt dare pull the plug on Chinese equities before the 2008 Olympics, see:
http://www.thestreet.com/newsanalysis/investing/10359428.html

Your listening to some random yank for your advise :T :beer: :rotfl: :eek:

Makes as much sense as people saying the UK property market wont crash until the 2012 olympics. News for people, all signs are its happening now.

If you think that the olympics defines the entire worlds economys then withdraw your money from china in 2008 and invest in property in london till 2012. It must be true as some random person has said it.

...myself im going defensive, but not much in cash as i recon inflation will destroy that. Surviving the world recession is going to be a tricky one that requires much thinking.

wombat42_2

Yant1 wrote: »

Your listening to some random yank for your advise :T :beer: :rotfl: :eek:

Makes as much sense as people saying the UK property market wont crash until the 2012 olympics. News for people, all signs are its happening now.

If you think that the olympics defines the entire worlds economys then withdraw your money from china in 2008 and invest in property in london till 2012. It must be true as some random person has said it.

...myself im going defensive, but not much in cash as i recon inflation will destroy that. Surviving the world recession is going to be a tricky one that requires much thinking.

China is a whole different ball game with its own unique peculiar rules and circumstances. For a start, most things are still under state control rather than market forces. You cant equate any other world economy to it. China's stock market is in a world of its own.

baby_boomer

wombat42 wrote: »

China's stock market is in a world of its own.

With the Chinese investing in it like mad while the government keeps interest rates below the inflation rate.

wombat42_2

baby_boomer wrote: »

With the Chinese investing in it like mad while the government keeps interest rates below the inflation rate.

Wow - at least someone else has some understanding of China.

YOU HAVE TO UNDERSTAND THE CHINESE STOCK MARKET IN ITS OWN TERMS AND NOT JUST BLINDLY APPLY THE PRINCIPLES OF OTHER WORLD STOCK MARKETS TO IT.