Our Blog

04
Oct

Risk and Money Management When Investing in China

One of the most common misconceptions among investors is that to succeed, you have to be right more frequently than you are wrong. That is hardly the case, whether we are referring to Chinese assets or any other asset class. For example, you can be right 9 out of 10 times and generate 1% each

02
Oct

(Financial) Fraud in China: How to Avoid Portfolio-Disrupting Scams

When it comes to financial crimes committed within China, the laws at least (even if the efficiency of the authorities with respect to applying them can sometimes be questionable) are very strict and as such, a valid case can be made that a strong legislative disincentive exists. But as far as laws that pertain to

30
Sep

To Short Sell or Not to Short Sell: Should One Short Chinese Assets?

In a previous article, we have made it clear that in China (most likely more so than in more established Western jurisdictions), both extremes of the investment spectrum are well-represented: from genuine long-term opportunities to more or less reckless short-term speculation options. Through this post, we will be taking a closer look at the latter

27
Sep

Investment vs. Speculation in China: Is Any Trend Your Friend?

One of the top mistakes investors make when allocating capital (toward Chinese assets or any other asset class, for that matter) is lumping all assets of an asset class in the same category. Or assuming that just because an asset class is doing well, every asset you touch will turn to gold just because it’s

25
Sep

Navigating Through Propaganda in China… and Elsewhere?

As stated ad nauseam here at ChinaFund.com, investors who are genuinely interested in gaining exposure to Chinese assets have a lot of legwork ahead of them (either that or, of course, working with consultants such as us) if they are serious about generating sustainable results. From understanding the multiple facets of the Chinese economy (something

23
Sep

China’s Top 12 Insurance Companies – A Brief Overview

In an earlier article, we have made it clear why insurance is one of the best-positioned industries in China for a wide range of reasons, from demographic ones (the elephant in the room, perhaps) to smaller-scale variables. Re-addressing this issue would not constitute a proper use of our (limited) time, so we will limit ourselves

20
Sep

A Glimpse into China’s Booming Insurance Industry

We have referred to a wide range of secular mega-trends here on ChinaFund.com, some of which can be considered… well, problematic, for example China’s aging population. However, even the challenging ones have quite a bit of upside, sometimes lifting entire industries. While the insurance industry of China has most definitely not been lifted by demographics

18
Sep

Is China on the Verge of Becoming a Cashless Society?

Finding out that China was the first nation to introduce banknotes comes a surprise to many and it tends to come as even more of a surprise for the average Western observer to hear that yes, China is genuinely on the verge of becoming a cashless society, with over two-thirds of its citizens having switched

16
Sep

Retiring in China… Are Retirees a (Financial) Force or Threat?

Those of you who are familiar with the United States demographic landscape know all too well how the “Baby Boomer” generation that consists of individuals who have either retired or are retiring is shaping the economy. Across the US, entire sectors are adapting to the present as well as future needs of the generation in

13
Sep

China’s Luxury Goods Market: Facts vs. Misconceptions

Misunderstandings abound when it comes to all things China-related. For example, through previous ChinaFund.com articles, we’ve highlighted many manufacturing-related ones, for example the (grossly outdated) idea that China can only put low-quality, low value-added products on the table. Similar outdated stereotypical thinking examples also pertain to the Chinese consumer. To put it differently, China has