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Strategies & Market Trends : China Warehouse- More Than Crockery -- Ignore unavailable to you. Want to Upgrade?

To: sammaster who wrote (3274)	6/13/2004 8:21:32 PM
From: jmiller099	Respond to of 6370

Accords Sam, you are correct. It was quite a good experience in China and it opened my world and mind a lot. I tend to feel there is a large future in America and China on an investment outlook and I allocate most funds to some picks in each market. I don't know commodity markets well and shy away from commodity based plays. I don't think I can make a good guess on which commodities will be consumed by which manufacturing sectors and in a large enough magnitude to be consumed quicker than production can ramp. Instead I play my China angle by picking individual ADR listed on NYSE or NASDAQ. I often aggressivley manage portfolio allocations by lightening stocks when they hop out of their range and going in heavier when they break downwards if the reason for the break is not due to a major business problem. For example, when I hear Wen Jiabao state that the economy needs to cool off I buy in on the over-reaction. Another strategy I did was listening to the people there on assignment or business trips. I would make note of the company and if in a sector I can understand I would research the company's business model and what it was doing in China. Playing "Selling to China" and Chinese companies listed on foreign exchanges were all I did. China's stockmarket is kind of a quagmire and many citizens of China simply do not trust it. There is a book by Robert Greene (?) about China's stock market. It echoed exactly what I heard from my local coworkers and friends in China about their exchanges. These main points are that they are easily corrupted by large players and the little guys lose money everytime. They have a saying where out of 10 investors: 8 lose money, 1 large player stays even, and 1 large player makes money.