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Old 07-24-2007, 10:37 AM
muncie birder muncie birder is offline
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Join Date: Jul 2007
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How about closed end. They are actually selling at a discount to net assets currently. CAF invests in A shares. Currently, ytd return is about 27.8% on market price, but 79.4% on net asset value. It was selling at a 15% premium and has since dropped to a 15% discount. The A shares are those shares sold on the Shanghai and Shenzhen stock exchange. They can only be purchased by institutional investors and Chinese investors. There is a lot of concern currently that the Chinese stock market is a bubble. Maybe and maybe not. After all China is growing at about 10x the rate of the U S. Thanks of course to the insatiable appetite of of U S consumers for Chinese goods.

Other options are GXC, PGJ, FXI. All index funds based on Chinese shares. GXC has the best ytd return of the index funds at 25.6%, but has not been in existance a full ytd. Only since March 23, so it is really not a fair comparison.
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